Jones Corporation Is Preparing an Aggregate Production Plan for Washers

question 24

Multiple Choice

Jones Corporation is preparing an aggregate production plan for washers for the next four quarters.The company's expected quarterly demand is given in the following chart.The company will have 1,000 washers in inventory at the beginning of the year and wishes to maintain at least that number at the end of each quarter.Following is other critical data: Production cost per unit = $250
Inventory carrying cost per quarter per unit = $10 (based on quarter-ending inventory) Hiring cost per worker = $1,000
Firing cost per worker = $2,000 Beginning number of workers = 10
Each worker can produce 100 units per quarter.
Any worker on the staff at the end of the year will not be fired at that time.
If Jones prefers a level plan, what will be the regular production rate per quarter?

• A)5,000 units
• B)4,000 units
• C)6,000 units
• D)Regular production will vary each month.

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Definitions:

1-bromo-1-methylcyclohexane

A brominated organic compound featuring a bromine and a methyl group attached to a cyclohexane ring.

HBr

Hydrobromic acid, a strong acid formed by dissolving hydrogen bromide in water, used in chemical synthesis.

Basic Mechanism

Fundamental processes describing the simplest form of how reactions occur at a molecular level, often foundational to more complex mechanisms.

Organic Chemistry

A branch of chemistry that studies the structure, properties, composition, reactions, and preparation of carbon-containing compounds, which include not only hydrocarbons but also compounds with any number of other elements, including hydrogen, nitrogen, oxygen, halogens, phosphorus, silicon, and sulfur.