The Following Information Relates to a Company's Aggregate Production Planning

question 44

Multiple Choice

The following information relates to a company's aggregate production planning activities: Beginning Workforce = 125 workers
Production per Employee = 500 units per quarter
Hiring Cost = $750 per worker
Firing Cost = $1,500 per worker
Inventory Carrying Cost = $10 per unit per quarter
If a chase demand strategy is used then the number of workers hired in quarter 4 is

• A)0.
• B)15.
• C)75.
• D)125.

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Definitions:

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