The Following Information Relates to a Company's Aggregate Production Planning

question 42

Multiple Choice

The following information relates to a company's aggregate production planning activities:

Beginning Workforce = 125 workers
Production per Employee = 500 units per quarter
Hiring Cost = $750 per worker
Firing Cost = $1,500 per worker
Inventory Carrying Cost = $10 per unit per quarter
If a level production strategy is used the number of units to produce each quarter is

• A)42,500
• B)85,000
• C)62,500
• D)37,500

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Definitions:

Serosa

A smooth membrane consisting of a thin layer of cells that secrete serous fluid, covering internal organs and body cavities.

Alimentary Canal

The whole passage along which food passes through the body from mouth to anus, including the esophagus, stomach, and intestines.

Peritoneum

The double-walled, outermost layer of the alimentary canal; also called the serosa.

Alimentary Canal

The whole passage along which food passes through the body from mouth to anus, including all the organs involved in digestion and absorption.