The ATV Corporation makes three models of all-terrain vehicles: Model A, Model B, and Model C. Model A uses a 0.4-liter engine, Model B uses a 0.5-liter engine, and Model C uses a 0.6-liter engine. The aggregate production plan is the twelve-month plan that combines all three models together in total monthly production. The planning horizon is twelve months. The APP determines the size of the workforce, which is the constrained resource. Assume that the beginning inventory for January and that the desired monthly ending inventory is 120 units (30 units each of Model A and Model B, and 60 units of Model C), and the firm desires to have an ending inventory of 160 units at the end of the year. On average, one unit of ATV requires eight labor hours to produce, and a worker contributes 160 hours (8 hours × 5 days × 4 weeks) per month. The data has been collected in the Microsoft Excel Online file attached. Answer the question below: 1. What are the totals of the forecast demand (including inventory adjustment for December), production, hours and workers associated with aggregate production plan? (Hint: find the total number of workers as the sum of workers required during each month.) Round your answers to the nearest whole number.

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The ATV Corporation makes three models of all-terrain vehicles: Model A, Model B, and Model C. Model A uses a 0.4-liter engine, Model B uses a 0.5-liter engine, and Model C uses a 0.6-liter engine. The aggregate production plan is the twelve-month plan that combines all three models together in total monthly production. The planning horizon is twelve months. The APP determines the size of the workforce, which is the constrained resource. Assume that the beginning inventory for January and that the desired monthly ending inventory is 120 units (30 units each of Model A and Model B, and 60 units of Model C), and the firm desires to have an ending inventory of 160 units at the end of the year. On average, one unit of ATV requires eight labor hours to produce, and a worker contributes 160 hours (8 hours × 5 days × 4 weeks) per month. The data has been collected in the Microsoft Excel Online file attached. Answer the question below:

1. What are the totals of the forecast demand (including inventory adjustment for December), production, hours and workers associated with aggregate production plan? (Hint: find the total number of workers as the sum of workers required during each month.) Round your answers to the nearest whole number.

Aggregate Production Plan for the ATV Corporation
Desired Monthly Ending Inventory
Desired End of Year Inventory
Worker hours needed per unit
Worker hours per month (8 hrs x 5 days x 4 weeks)
December Inventory Adjustment
Period
January
February
March
April
May
June
July
August
September
October
November
December
TOTALS
Forecast Demand
(Units)*
100
80
280
480
600
700
760
560
500
420
260
120
4,860
120
160
8
160
Total Forecast Production
Demand (Units)** (Units)
Ending Inventory
(Units)
Capacity Needed (Labor)
Hours
Workers
Transcribed Image Text:Aggregate Production Plan for the ATV Corporation Desired Monthly Ending Inventory Desired End of Year Inventory Worker hours needed per unit Worker hours per month (8 hrs x 5 days x 4 weeks) December Inventory Adjustment Period January February March April May June July August September October November December TOTALS Forecast Demand (Units)* 100 80 280 480 600 700 760 560 500 420 260 120 4,860 120 160 8 160 Total Forecast Production Demand (Units)** (Units) Ending Inventory (Units) Capacity Needed (Labor) Hours Workers
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