Given the following forecast and cost information, determine the total cost of a plan that uses regular time production output of 600 units per month, overtime is used when needed up to a maximum of 60 units per month, and subcontracting is used if additional units are needed to meet the forecast Regular time cost $ 40.00 per unit Overtime cost $ 60.00 per unit (60 max) subcontracting cost $ 80.00 per unit holding cost $ 10.00 per unit per month month 1 forecast 563 month 2 forecast 608 month 3 forecast 648 month 4 forecast 668 month 5 forecast 666 month 6 forecast 688 Show in Excel
Given the following forecast and cost information, determine the total cost of a plan that uses regular time production output of 600 units per month, overtime is used when needed up to a maximum of 60 units per month, and subcontracting is used if additional units are needed to meet the forecast Regular time cost $ 40.00 per unit Overtime cost $ 60.00 per unit (60 max) subcontracting cost $ 80.00 per unit holding cost $ 10.00 per unit per month month 1 forecast 563 month 2 forecast 608 month 3 forecast 648 month 4 forecast 668 month 5 forecast 666 month 6 forecast 688 Show in Excel
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Question
| Given the following |
|||
| determine the total cost of a plan that uses regular time | |||
| production output of 600 units per month, overtime is | |||
| used when needed up to a maximum of 60 units per | |||
| month, and subcontracting is used if additional units are needed to meet the forecast | |||
| Regular time cost | $ 40.00 | per unit | |
| Overtime cost | $ 60.00 | per unit (60 max) | |
| subcontracting cost | $ 80.00 | per unit | |
| holding cost | $ 10.00 | per unit per month | |
|
month 1 forecast 563 month 2 forecast 608 month 3 forecast 648 month 4 forecast 668 month 5 forecast 666 month 6 forecast 688
Show in Excel |
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