Answer to Question #195479 in Economics for Koketso Bokaba

Question

In order to forecast the demand for the winter months of 2021, Warm and Cosy would like to prepare an aggregate plan for the next six periods. Mr. Pea employs 20 manufacturing workers, with each worker producing 250 jackets per month. Manufacturing of these jackets will incur the following costs:

 

·       Regular time = R 95.00 per jacket produced

·       Overtime = R 110.00 per jacket produced

·       Subcontracting = R 160.00 per jacket produced

·       Inventory = R 84.00 per jacket per period based on average inventory

·       Back-order = R 114.00 per jacket per period

 

5.1       Using the information above, prepare a level output aggregate plan. Any discrepancy will only be covered with backlogs and back orders

Answer 1

Dear Koketso Bokaba, your question requires a lot of work, which neither of our experts is ready to perform for free. We advise you to convert it to a fully qualified order and we will try to help you. Please click the link below to proceed: Submit order