PP.52 A manufacturer of solid state drives (SSDS) has projected the next six months of demand to be as shown the table below: Supply/Demand Info Forecast (demand) Beginning Jan Feb Mar Apr May Jun 57,200 49,200 56,600 62,000 61,800 64,600 Regular production Overtime production Subcontract production Ending inventory Hired employees 5,400 Fired employees Total employees 230 Cost variables are as follows: Cost Variables Labor cost/hour $18 Overtime cost/unit $33 Subcontracting cost/unit $27 Holding cost/unit/month $11 Hiring cost/employee Firing cost/employee $2,600 $6,000 Here is some additional relevant (capacity) information: Capacity Information Total labor hours/SSD 2 Regular production units/employee/month Max regular production/month 200 57,000 Max overtime production/month Max subcontractor production/month 4,000 5,000 Assuming the company ONLY uses overtime and/or subcontract production if regular production capacity is not sufficient, answer the following questions: What is the regular production cost (over the six months from January through June) for a CHASE production plan? (Display your answer to the nearest whole number.) 1,462,400 What is the total overtime production cost for this production plan? (Display your answer to the nearest whole number.) 0 What is the total subcontract cost for this production plan? (Display your answer to the nearest whole number.) 675,000 What is the total holding cost for this production plan? (Display your answer to the nearest whole number.) 246,400 What is the total hire cost for this production plan? (Display your answer to the nearest whole number.) 146957 What is the total fire cost for this production plan? (Display your answer to the nearest whole number.) 232174 What is the total cost (sum of all costs) for this production plan? (Display your answer to the nearest whole number.) 12762930
