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Wormwood Ltd produces a variety of furniture products The planning committee wants to prepare an...

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Basic Math

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Wormwood Ltd produces a variety of furniture products The planning committee wants to prepare an aggregate plan for the next six months using the following information Demand Capacity Regular Overtime Regular time Overtime Cost Per Unit Period Subcontract Inventory holding per month MONTH 4 1 3 2 160 150 160 180 Forecast Output 150 10 Regular Overtime Subcontract Output Forecast Inventory 150 150 10 0 50 75 80 4 Click here for the Excel Data File Subcontracting can handle a maximum of 10 units per month Beginning inventory is zero Develop a plan that minimizes total cost No back orders are allowed Regular capacity Regular production Negative amounts should be indicated by a minus sign Leave no cells blank be certain to enter 0 wherever required 150 10 160 2 5 6 170 140 150 160 160 10 10 3 160 4 180 5 170 6 140 Total 960

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