quarterly demand for a product 495371

MGSC-303 EXAM III SUM II-2013 NAME:______________________________________________ The quarterly demand for a product(in units) is given below: Quarters: Q1 Q2 Q3 Q4 Demand: 1300 1400 1600 1700 Each unit of product requires 5 hours of labor. A worker works for 500 hours per quarter. Compute the number of workers required each quarter to meet demand? No. of Workers, Q1 = No. of Workers, Q2 = No. of Workers, Q3 = No. of workers, Q4 = Perform a rough-cut capacity planning analysis. Does the plant have the capacity to meet the total demand for the 4 quarters? Assume 7500 labor hours of capacity is available each quarter. ?Qtr. 1?Qtr. 2?Qtr. 3?Qtr. 4?Total??Demand (units)???????Load Labor hrs???????Capacity Labor Hrs.???????Over/Under ??????? Note: Over/Under = Capacity – Load . What is your recommendation? In problem 1, assume the cost of carrying an item in inventory is $50 per unit per year. a) If level production, based on average quarterly demand is planned, compute the annual inventory carrying costs. Assume initial inventory of the product is zero. Use the following table to perform your calculations. Quarters?Aggregate Demand?Planned Production?Beginning Inventory?Ending Inventory?Avg. Qtrly Inventory?? Q1??????? Q2??????? Q3??????? Q4 ??????? Total = Total = Average Qtrly demand = Average Annual Inventory = Annual Inventory carrying cost = If the production capacity is limited to 1300 units per quarter and excess demand is met…