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

Question 15

Multiple Choice

The following information relates to a company's aggregate production planning activities: 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 chase demand strategy is used then the total firing cost for the plan is A) $10,000. B) $15,000. C) $20,000. D) $25,000. 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 chase demand strategy is used then the total firing cost for the plan is


A) $10,000.
B) $15,000.
C) $20,000.
D) $25,000.

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