Question 1
Which of the following uses regression to incorporate historical managerial performance into aggregate planning?
◦ keiretsu
◦ transportation method
◦ linear decision rule
◦ management coefficients model
◦ simulation
Question 2
A manager is applying the transportation model of linear programming to solve an aggregate planning problem. Demand in period 1 is 100 units and in period 2 demand is 150 units. The manager has 125 hours of regular employment available for $10/hour each period. In addition, 50 hours of overtime are available for $15/hour each period. If holding costs are $2 per unit each period, how many hours of regular employment should be used in period 1 (assume demand must be met in both periods 1 and 2 for the lowest possible cost and that production is 1 unit per hour)?
◦ 175
◦ 50
◦ 100
◦ 150
◦ 125
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