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

question 63

Multiple Choice

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

Beginning Workforce = 35 workers
Production per Employee = 1,250 units per quarter
Hiring Cost = $500 per worker
Firing Cost = $1,000 per worker
Inventory Carrying Cost = $20 per unit per quarter
If a level production strategy is used then the inventory at the end of quarter 3 is

• A)18,750
• B)12,500
• C)25,650
• D)31,250 units

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Definitions:

Trade Surplus

This occurs when a country's exports exceed its imports, indicating a positive balance of trade.

Trade Surplus

A situation where the value of a country's exports exceeds the value of its imports.

Trade Deficit

Occurs when a country's imports exceed its exports, leading to a negative balance in trade.

Balanced Trade

A trade situation in which the value of a country's exports equals the value of its imports over a certain period.