Consider the Following Information What Is Total Forecasted Demand

question 12

Short Answer

Consider the following information: $$\begin{array} { l l l } \text { Period } & \text { Forecast } \\\hline 1 & 200 & \\2 & 200 & \\3 & 300 & \\4 & 400 & \\5 & 500 & \\6 & 200 & \\\text { Regular Time: } & \$ 20 \text { per unit ( } 280 \text { units per period maximum) } \\\text { Overtime: } & \$ 30 \text { per unit (40 units per period maximum) } \\\text { Subcontracting: } & \text { None available } \\\text { Beginning Inventory: } & \text { None } \\\text { Carrying Cost: } & \$ 1 \text { per unit per period } \\\text { Backorder Cost: } & \$ 5 \text { per unit per period }\end{array}$$ What is total forecasted demand?

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Definitions:

Overwhelmed

Experiencing a strong emotional effect to the extent of being unable to function normally due to an excessive amount of something.

Predictability

The extent to which future events or behaviors can be anticipated based on current knowledge or past events.

Stability

The quality of being stable; having consistency or permanence, and resistance to change or deterioration over time.

Continuity

The unbroken and consistent existence or operation of something over a period of time.