Data_Problem_Set_D

Data_Problem_Set_D - 1a Number of workers 33.5 40 43.75...

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1a Month Demand January 670 33.5 34 9 0 February 800 40 40 6 0 March 875 43.75 44 4 0 April 525 26.25 27 0 17 May 450 22.5 23 0 4 June 300 15 15 0 8 July 375 18.75 19 4 0 August 300 15 15 0 4 September 470 23.5 24 9 0 October 630 31.5 32 8 0 November 780 39 39 7 0 December 960 48 48 9 0 Horizon Costs = Production one worker makes 20 Starting # of workers 25 starting inventory 0 Costs Labor/month $1,800.00 Hire $500.00 Fire $700.00 Holding cost per firepit per month $10.00 Backorder for an unfulfilled firepit $30.00 Number of workers Number of workers (rounded) Number of workers Hired Number of workers Fired
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Labor Costs Hiring Costs Firing Costs $61,200.00 $4,500.00 $- $72,000.00 $3,000.00 $- $79,200.00 $2,000.00 $- $48,600.00 $- $11,900.00 $41,400.00 $- $2,800.00 $27,000.00 $- $5,600.00 $34,200.00 $2,000.00 $- $27,000.00 $- $2,800.00 $43,200.00 $4,500.00 $- $57,600.00 $4,000.00 $- $70,200.00 $3,500.00 $- $86,400.00 $4,500.00 $- $648,000.00 $28,000.00 $23,100.00 Total Horizon Cost =  $699,100.00 
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1b&c Month Demand Production January 670 30 600.00 670 February 800 30 600.00 1470.00 March 875 30 600.00 2345.00 April 525 30 600.00 2870.00 May 450 30 600.00 3320.00 June 300 30 600.00 3620.00 July 375 30 600.00 3995.00 August 300 30 600.00 4295.00 September 470 30 600.00 4765.00 October 630 30 600.00 5395.00 November 780 30 600.00 6175.00 December 960 30 600.00 7135.00 Production one worker makes 20 Starting # of workers 25 starting inventory 0 C) Plan in part a) is better bec Costs Labor/month $1,800.00 Hire $500.00 Fire $700.00 Holding cost per firepit per month $10.00 Backorder for an unfulfilled firepit $30.00 Average Demand 594.58 # of workers before rounding 29.73 # of workers after rounding 30 # of workers hired 5
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