Jerusalem Medical Ltd., an Israeli producer of portable kidney dialysis units and other medical products, develops a 4-month aggregate plan. Demand and capacity (in units) are forecast as follows: Capacity SourceMonth 1Month 2Month 3Month 4Labor Regular time245265280300 Overtime15242622Subcontract14172015Demand260306316305 The cost of producing each dialysis unit is$875on regular time,$1,310on overtime, and$1,500on a subcontract. Inventory carrying cost is$100per unit per month. There is to be no beginning or ending inventory in stock and backorders are not permitted.Minimizing cost using the transportation method, the optimal cost is$nothing(enter your response as a whole number). Problem 13.14Question HelpJerusalem Medical Ltd., an Israeli producer of portable kidney dialysis units and other medical products, develops a 4-month aggregate plan. Demand and capacity (inunits) are forecast as follows:Capacity SourceMonth 1Month 2Month 3Month 4LaborRegular time245265280300Overtime15242622Subcontract14172015Demand260306316305The cost of producing each dialysis unit is $875 on regular time, $1,310 on overtime, and $1,500 on a subcontract. Inventory carrying cost is $100 per unit per month.There is to be no beginning or ending inventory in stock and backorders are not permitted.Minimizing cost using the transportation method, the optimal cost is $(enter your response as a whole number).

To calculate Supply (month), the formula would be Regular time units +Overtime units +Subcontract…

Answered: erusalem Medical Ltd., an Israeli…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

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Jerusalem Medical Ltd., an Israeli producer of portable kidney dialysis units and other medical products, develops a 4-month aggregate plan. Demand and capacity (in units) are forecast as follows:

Capacity Source	Month 1	Month 2	Month 3	Month 4
Labor
Regular time	245	265	280	300
Overtime	15	24	26	22
Subcontract	14	17	20	15
Demand	260	306	316	305

The cost of producing each dialysis unit is

$875

on regular time,

$1,310

on overtime, and

$1,500

on a subcontract. Inventory carrying cost is

$100

per unit per month. There is to be no beginning or ending inventory in stock and backorders are not permitted.

Minimizing cost using the transportation method, the optimal cost is

$nothing

(enter your response as a whole number).

Problem 13.14
Question Help
Jerusalem Medical Ltd., an Israeli producer of portable kidney dialysis units and other medical products, develops a 4-month aggregate plan. Demand and capacity (in
units) are forecast as follows:
Capacity Source
Month 1
Month 2
Month 3
Month 4
Labor
Regular time
245
265
280
300
Overtime
15
24
26
22
Subcontract
14
17
20
15
Demand
260
306
316
305
The cost of producing each dialysis unit is $875 on regular time, $1,310 on overtime, and $1,500 on a subcontract. Inventory carrying cost is $100 per unit per month.
There is to be no beginning or ending inventory in stock and backorders are not permitted.
Minimizing cost using the transportation method, the optimal cost is $
(enter your response as a whole number).

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