Part 2 Given the following information for a company that wants to use Backorders: Regular Prod. Cost = $23/unit Overtime Prod. Cost = $28/unit Subcont Prod. Cost = $35/unit/qtr Period of Production Beginning Inventory Regular Overtime 1 2 Subcontract Regular Overtime Subcontract 1 Period of Use 2 A Inventory Cost = $8/unit/qtr Backordering Cost-$11/unit/qtr Backorders Permitted Capacity 0 1800 250 2000 1800 250 2000 Demand 2350 1250 Completely fill in the Transportation tableau including the Production Plan. 7. What is the value of A? 8. What is the cost for all units produced during the 2nd quarter? 9. How many units of unused capacity are available after all demand has been met?

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
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Part 2 Given the following information for a company that wants to use Backorders:
Inventory Cost = $8/unit/qtr
Backordering Cost-$11/unit/qtr
Backorders Permitted
Regular Prod. Cost = $23/unit
Overtime Prod. Cost = $28/unit
Subcont Prod. Cost = $35/unit/qtr
Period of Production
Beginning
Inventory
Regular
1
Overtime
Subcontract
Regular
2 Overtime
Subcontract
1
Period of Use
2
A
Capacity
0
1800
250
2000
1800
250
2000
Demand
2350
1250
Completely fill in the Transportation tableau including the Production Plan.
7. What is the value of A?
8. What is the cost for all units produced during the 2nd quarter?
9. How many units of unused capacity are available after all demand has been met?
D
Transcribed Image Text:Part 2 Given the following information for a company that wants to use Backorders: Inventory Cost = $8/unit/qtr Backordering Cost-$11/unit/qtr Backorders Permitted Regular Prod. Cost = $23/unit Overtime Prod. Cost = $28/unit Subcont Prod. Cost = $35/unit/qtr Period of Production Beginning Inventory Regular 1 Overtime Subcontract Regular 2 Overtime Subcontract 1 Period of Use 2 A Capacity 0 1800 250 2000 1800 250 2000 Demand 2350 1250 Completely fill in the Transportation tableau including the Production Plan. 7. What is the value of A? 8. What is the cost for all units produced during the 2nd quarter? 9. How many units of unused capacity are available after all demand has been met? D
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