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The president of Hill$$ Enterprises, Terri$$ Hill, projects the$$ firm's aggregate demand requirements over the next $8$ months as$$ follows:$$

January$-1,500$

February$-1,700$

March$-1,700$

April$-1,700$

May$-2,300$

June$-2,100$

July$-1,900$

August$-1,500$

Her operations manager is considering a new$$ plan, which begins in January with $200$ units of inventory on hand. Stockout cost of lost sales is $$$$100$ per unit. Inventory holding cost is $$$$25$ per unit per month. Ignore any$$ idle$-$time costs. The plan is called plan C$.$

Plan$$ C: Keep a stable workforce by maintaining a constant production rate equal to the average gross requirements excluding initial inventory and allow varying inventory levels.

Conduct your analysis for January through August.

Part $2$

The average monthly demand requirement $=$ units

In order to arrive at the$$ costs, first compute the ending inventory and stockout units for each month by filling in the table below $($enter your responses as whole$$ numbers$).$

Month,Demand, production,Ending Inventory, stockouts units

December,$-,-,"200",-$

January,"$1,500","1,800",-,-$

February,"$1,700","1,800",-,-$

March,"$1,700","1,800",-,-$

April,"$1,700","1,800",-,-$

May,"$2,300","1,800",-,-$

June,"$2,100","1,800",-,-$

July,"$1,900","1,800",-,-$

August,"$1,500","1,800",-,-$

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