Author Question: A firm practices the pure chase strategy. Production last quarter was 1000. Demand over the next ... (Read 84 times)

Shelles · **on:** Dec 3, 2019

Question 1

Which of the following actions is consistent with the use of pure level strategy?
◦ use overtime to meet higher-than-average demand requirements
◦ use statistical sampling to meet average demand requirements
◦ vary work force to meet demand requirements
◦ use inventory to meet demand requirements
◦ vary production levels to meet demand requirements

Question 2

A firm practices the pure chase strategy. Production last quarter was 1000. Demand over the next four quarters is estimated to be 900, 700, 1000, and 1000. Hiring cost is $20 per unit, and firing cost is $5 per unit. Over the next year, the sum of hiring and layoff costs will be
◦ $7,500.
◦ $500.
◦ $7,000.
◦ $12,500.
◦ $2,500.

bpool94 · **Reply #1 on:** Dec 3, 2019

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