Author Question: A manufacturer of industrial seafood processing equipment wants you to develop an aggregate plan for ... (Read 39 times)

casperchen82 · **on:** Dec 3, 2019

A manufacturer of industrial seafood processing equipment wants you to develop an aggregate plan for the four quarters of the upcoming year using the following data on demand and capacity.

Quarter	Units	Regular Time	Over- time	Sub- contract	Initial inventory Regular time cost	250 units $1.25/unit
1	200	400	80	100	Overtime cost	$1.50/unit
2	750	400	80	100	Subcontracting cost	2.00/unit
3	1200	800	160	100	Carrying cost	$0.50/unit/quarter
4	450	400	80	100	No back ordering is allowed

a. Find the optimal plan using the transportation method.
b. What is the cost of the plan?
c. Does any regular time capacity go unused? How much in what periods?
d. What capacity went unused in this solution (list in detail)?

leahm14 · **Reply #1 on:** Dec 3, 2019

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