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

Question 103

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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 = 50 workers Production per Employee = 250 units per quarter Hiring Cost = $1000 per worker Firing Cost = $1,500 per worker Inventory Carrying Cost = $15 per unit per quarter If a chase demand strategy is used then the total hiring and firing cost of the plan is A)  $340,000. B)  $250,000. C)  $125,000. D)  $90,000. Beginning Workforce = 50 workers
Production per Employee = 250 units per quarter
Hiring Cost = $1000 per worker
Firing Cost = $1,500 per worker
Inventory Carrying Cost = $15 per unit per quarter
If a chase demand strategy is used then the total hiring and firing cost of the plan is


A) $340,000.
B) $250,000.
C) $125,000.
D) $90,000.

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