Course Solutions Uncategorized Ethan Ellen Produces High Quality Dinning Table Sets Miami Plant Production Manager Intere Q34195567

Ethan Ellen Produces High Quality Dinning Table Sets Miami Plant Production Manager Intere Q34195567

Ethan Ellen produces high quality dinning table sets in itsMiami plant. The production manager is interested to put togetheran aggregate plan for the next planning period. To create theaggregate plan he has collected various costs onresources​available, and predicted demand for their dinning setsand capacity available for​ production; which are then compiled inthe following two tables.

​Regular-time cost per set

​$70

Overtime cost per set

​$110

Subcontract cost per set

​$120

Carrying cost per set per month

​$2

                                                                                                                  

Period

Month 1

Month 2

Month 3

Month 4

Demand​ (sets)

2,000

2,500

1,300

2,300

Capacity​ (sets)

      Regular time

1,600

1,600

650

1,700

      Overtime

400

400

100

500

      Subcontract

700

600

600

600

Ethan Ellen starts the planning period with a beginninginventory of 400 sets. Back ordering is not permitted for thisplan.

a.) Minimizing total cost to meet the

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