Golden Eagle Machine Works has the following demand requirements ...

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Question 1

Osprey Machine Works has the following demand requirements and other data for the upcoming four quarters.

Quarter	Demand	​	Previous quarter's output	2500 units
1	2300	​	Beginning inventory	200 units
2	2400	​	Stockout (backorder) cost	$50 per unit
3	2600	​	Inventory holding cost	$10 per unit at end of quarter
4	2100	​	Hiring workers	$4 per unit
​	​	​	Laying off workers	$8 per unit
​	​	​	Unit cost	$30 per unit
​	​	​	Overtime	$10 extra per unit

What is the total cost of pursuing a level aggregate plan over the coming year?

Question 2

Golden Eagle Machine Works has the following demand requirements and other data for the upcoming four quarters.

Quarter	Demand	​	Previous quarter's output	2500 units
1	2300	​	Beginning inventory	200 units
2	2400	​	Stockout (backorder) cost	$50 per unit
3	2600	​	Inventory holding cost	$10 per unit at end of quarter
4	2100	​	Hiring workers	$4 per unit
​	​	​	Laying off workers	$8 per unit
​	​	​	Unit cost	$30 per unit

What is the total cost of pursuing a chase aggregate plan over the coming year?

[Sarahjh]

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[dantucker]

Thanks for the timely response, appreciate it