GM 564 Week 8 Assignment

GM 564 Week 8 Assignment | Franklin Pierce University | Assignment Help 

Module Eight Homework

Spring 2019

Please submit as a single Excel file. To receive credit, appropriate detail needs to be provided. In addition, a professional presentation of findings is important.

#1        Determine the total cost for this plan given the following forecast:

Month                 1        2       3       4       5       6

Forecast           380   400   420   440   460   490

Use steady regular output of 400 units per month, use overtime as needed for up to 40 units per month, and use subcontracting to make up any needed output to match the forecast. Unit costs are:

Regular output  $25

Overtime $40

Subcontract $60

Average Balance Inventory $20

#2        Given the following forecast and steady regular output of 550 every month, what total cost would result if overtime is limited to a maximum of 50 units a month, and subcontracting is limited to a maximum of 10 units a month? Unit costs are:

Regular output $20

Overtime $30

Subcontract  $25

Average Inventory  $10

Backlog  $20

Month                  1       2      3      4       5       6

Forecast           540   540   570   590   600   600

#3  A planner has developed an aggregate forecast for demand (in cases) for the next six months.

Month                 May     Jun       Jul        Aug     Sep      Oct

Forecast           4,000   4,800   5,600   7,200   6,400   6000

Use the following information to develop an aggregate plan.

Regular production cost $10 per case

Regular production capacity 5,000 cases

Overtime production cost $16 per case

Subcontracting cost $25 per case

Holding cost  $1 per case per month

Beginning inventory   0

#4  Green Incorporated produces a number of variations in medical equipment.  The production manager has developed the following aggregate forecast:

Month    Mar   Apr   May   June   July   Aug   Sept   Total

Forecast  50     44     55       60     50     40       45     344

Other data/information to develop the aggregate plan:

Regular production cost               $80 per unit

Overtime production cost           $120 per unit

Regular capacity                            40 units per month

Overtime capacity                           8 units per month

Subcontracting cost                     $140 per unit

Subcontracting capacity                   12 units per month

Holding cost                                  $10 per unit per month

Back order cost                             $25 per unit

Beginning inventory                          0 units

Develop an aggregate plan using the following guidelines and compute the total cost for this plan:

a.  Use regular production.  Supplement using inventory, overtime and subcontracting as needed.  No backlogs allowed.