Essay
A manufacturing firm uses a level utilization production-planning horizon of three months. They have developed a forecast for the coming three months that appears in the table. They can add no more than 10% of their production capacity as overtime and can order no more than 10% of a month's regular capacity via subcontractors. The company has a zero backorder policy but has space for a maximum of 150 items in their finished-goods inventory. If all extra costs are shown in the table, what is the minimum cost sales and operations plan?
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