It Costs $12 to Make a Single Unit Using Regular

question 26

Essay

It costs $12 to make a single unit using regular production and $15 to make a single unit using overtime production. Total overtime production is limited to 500 units for the five month period. The manufacturing plant has a regular production capacity of 250 units per month and has 50 units in inventory at the start of the planning period. There is a $5 per unit charge for holding inventory at the end of each month and a limit of 250 units ending inventory for any period. Develop a minimum cost production plan if the forecast must be met and costs must be minimized.
$$\begin{array} { | l | c | } \hline { \text { Month } } & \text { Forecast } \\\hline \text { Tanuary } & 250 \\\hline \text { February } & 200 \\\hline \text { March } & 300 \\\hline \text { April } & 400 \\\hline \text { May } & 500 \\\hline\end{array}$$

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Definitions:

External Locus of Control

A psychological concept where individuals believe that their successes or failures result from external factors beyond their control, rather than their own efforts.

Destinies

The predetermined or inevitable courses of events in individuals' lives or the history of entities, often viewed as beyond human control.

Internal Locus of Control

A psychological concept where individuals believe they have control over the outcomes of their actions and the events in their life.

Personal Belief

An individual’s own ideas and convictions, which form the basis of their personal values and decision-making processes.