Question

9. Meadows Cookie Company makes a variety of cookies. Based on the orders received and forecasts of buying habits, it is estimated that the demands for the next four months are 850, 1260, 510 and 980 in thousands of cookies. During a 46-day period when there were 120 workers, the company produced 1.7 million cookies. Assume that the number of working days over the four months are respectively 26, 24, 20, and 16. There are currently 100 workers employed, and there is no starting in inventories of cookies. (a) (5 points) Complete the table below: Number of Units per Cum Units Forecast Number Monthly Working Cum Worker per worker Demand Forecast Production Monthly End Month Days (000) 1000) (000) Demand Workers (000) Production Inventory Min Cum of (b) (5 points) Find K, the number of aggregate units produced by one worker in one day, (c) (5 points) What is the minimum constant workforce required to meet demand over the next four months? (d) (5 points) Assume that C) = 10 cents per cookie per month, Cx - $100, and Cp = $200. Evaluate the cost of the plan. Initial Number of workers Beginning inventory Ending inventory Number of workers hired (c) 5 points) Total Cost of the plan is

Answer 1

a)

Month	Working days	Number of Units per worker	Cummulative units per worker	Forcast Demand	Cummulative Forcast demand	Min number of workers	Monthly production	Cummulative Monthly production	END Invertory
1	26	8,007	8,007	850,000	850,000	106	800,725	800,725	-
2	24	7,391	7,391	1,260,000	2,110,000	170	739,130	1,539,855	-
3	20	6,159	6,159	510,000	1,770,000	83	615,942	1,355,072	105,942
4	16	4,928	4,928	980,000	1,490,000	199	492,754	1,108,696	-

Woking notes

Number of working days	46
Number of workers	120
Number of Cookies were produced	1700000
Number of Cookies were produced per employee	14167
per day production by worker	308

b) 308 units

C)

Average days	22
Mininum constant workforce to meet the demand	167

d) need more information

e) need more information