Wiedmer Corporation Is Preparing an Aggregate Production Plan for Widgets

question 30

Multiple Choice

Wiedmer Corporation is preparing an aggregate production plan for widgets for the next four months.The company's expected monthly demand is given in the following chart.The company will have 50 widgets in inventory at the beginning of the first month and wishes to maintain at least that number at the end of each month.Following is other critical data: Production cost per unit = $50
Inventory carrying cost per month per unit = $10 (based on ending month inventory) Hiring cost per worker = $300
Firing cost per worker = $200 Beginning number of workers = 16
Each worker can produce = 50 units per month.CHASE PLAN
What is the total cost of a chase plan which uses only hiring/firing?

• A)$257,000
• B)$257,400
• C)$257,600
• D)$257,900

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Definitions:

Kitchen Appliances

Electrical or mechanical machines used in the kitchen for assisting with various food preparation tasks.

Workplace

A location or environment where people engage in physical or intellectual tasks to earn a livelihood; can vary from office settings to outdoor locations.

Work Ethic

A set of values based on the virtues of hard work and diligence, emphasizing the importance of responsibility, integrity, and perseverance in professional settings.

Outside the Home

Activities or work performed away from one's residence, often relating to employment or socialization in public or communal spaces.