Wiedmer Corporation Is Preparing an Aggregate Production Plan for Widgets

question 17

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.LEVEL PLAN What is the inventory carrying cost of a chase plan accomplished through hiring and firing?

• A)0
• B)$200
• C)$1,000
• D)$2,000

---

Definitions:

Hypothesis

A proposed explanation or assumption made on the basis of limited evidence as a starting point for further investigation.

Extensive Review

An in-depth and comprehensive examination or analysis of a subject or document.

Research Question

A query that guides a research project, dictating the focus of the investigation and shaping the methodology.

Theoretical Background

denotes the foundational theories and conceptual underpinnings relevant to a subject of study or research.