IN-2021-Homework 4.xlsx

IN-2021-Homework 4.xlsx - INFORMATION Demand Product A...

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INFORMATION 1 2 3 Demand Product A 101 97 94 Demand Product B 200 197 196 Capacity / Employee / Day Prod A 0.3333 0.3333 0.3333 Capacity / Employee / Day Prod B 0.5 0.5 0.5 Labor Days 21 20 23 Capacity Required A 15 15 13 Capacity Required B 20 20 18 Total capacity required 35 35 31 Capacity Available 32 35 35 Employees Hired 3 0 0 Hiring Cost / Employee 700 700 700 Total Hiring Cost 2,100 0 0 Employees Dismissed 0 0 4 Lay Off Cost / Employee 1,800 1,800 1,800 Total Lay Off Cost 0 0 7,200 Total Employee Management Cost 2,100 0 7,200 Total Employees Available 35 35 31 Salaries & Benefits Cost / Employee / Day 1,500 1,500 1,500 Total S&B Cost 52,500 52,500 46,500 Total Labor Cost 54,600 52,500 53,700 Units Produced A 105 100 100 Units Produced B 210 200 207 Production Cost / Unit A 250.0 250.0 250.0 Production Cost / Unit B 380.0 380.0 380.0 Total Production Cost 106,050 101,000 103,577 Net Inventory A 4 3 6 Net Inventory B 10 3 11 Inventory Cost / Unit A 36% 36% 36% Inventory Cost / Unit B 36% 36% 36% Total Inventory Cost 1.44 1.08 2.04 Back Log Cost / Unit N/A N/A N/A Total Back Log Cost N/A N/A N/A Total Cost 160,651 153,501 157,279 Sale Price / Unit 0 0 0 Total Sales 0 0 0 Profit -160,651 -153,501 -157,279
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a) Develop a zero inventory resource plan b) Develop a constant labor force resource plan c) If Demand for Product A is expected to grow a and for Product B at a year over year rate of 10% d) Develop a mixed resource plan for year 1 and Days Required to Produce Product A Days Required to Produce Product B Employees Available Today Hiring Cost / Employee Lay Off Cost / Employee Salaries & Benefits Cost / Employee / Month Production Cost / Unit Product A Production Cost / Unit Product B Inventory Cost / Unit (Annual) Back Log Cost / Unit
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ZERO INVENTORY PLAN Month 4 5 6 7 8 9 10 102 101 92 97 91 103 92 200 202 209 207 216 212 220 0.3333 0.3333 0.3333 0.3333 0.3333 0.3333 0.3333 0.5 0.5 0.5 0.5 0.5 0.5 0.5 21 22 22 20 21 22 20 15 14 13 15 13 15 14 20 19 19 21 21 20 22 35 33 32 36 34 35 36 31 35 33 32 36 34 35 4 0 0 4 0 1 1 700 700 700 700 700 700 700 2,800 0 0 2,800 0 700 700 0 2 1 0 2 0 0 1,800 1,800 1,800 1,800 1,800 1,800 1,800 0 3,600 1,800 0 3,600 0 0 2,800 3,600 1,800 2,800 3,600 700 700 35 33 32 36 34 35 36 1,500 1,500 1,500 1,500 1,500 1,500 1,500 52,500 49,500 48,000 54,000 51,000 52,500 54,000 55,300
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