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

Question 3

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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 level production strategy is used then the number of workers required is A) 125 B) 170 C) 250 D) 325
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 level production strategy is used then the number of workers required is


A) 125
B) 170
C) 250
D) 325

Correct Answer:

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