Can you help me fill the table for each month. I need beginning inventory for ea
ID: 2456902 • Letter: C
Question
Can you help me fill the table for each month.I need beginning inventory for each month. Available production for each month. Ending Inventory for each month. Lost Sales and Total
I thought I had the problem right, but missed as many as I got right. Any help is appreciated. * 37%. Problem 8-8 Shoney Video Concepts produces a line of videodisc players to be linked to personal computers for video games. Videodiscs have much faster access time than tape. With such a computer/video link, the game becomes a very realistic experience. In a simple driving game where the joystick steers the vehicle, for example, rather than seeing computer graphics on the screen, the player is actually viewing a segment of a videodisc shot from a real moving vehicle. Depending on the action of the player (hitting a guard rail, for example), the disc moves virtually instantaneously to that segment and the player becomes part of an actual accident of real vehicles (staged, of course). Shoney is trying to determine a production plan for the next 12 months. The main criterion for this plan is that the employment level is to be held constant over the period. Shoney is continuing in its R&D; efforts to develop new applications and prefers not to cause any adverse feelings with the local workforce. For the same reason, all employees should put in full workweeks, even if this is not the lowest-cost alternative. The forecast for the next 12 months is FORECAST DEMAND 600 MONTH FORECAST DEMAND February March 200 300 700 800 810 400 300 May Manufacturing cost is $210 per set, equally divided between materials and labor. Inventory storage cost is $5 per month. A shortage of sets results in lost sales and is estimated to cost an overall $21 per unit short. The inventory on hand at the beginning of the planning period is 210 units. Ten labor hours are required per videodisc player. The workday is Eight hours. Develop an aggregate production schedule for the year using a constant workforce. For simplicity, assume 23 working days each month except July, when the plant closes down for three weeks' vacation (leaving 7 working days). Assume that total production capacity is greater than or equal to total demand. (Leave no cells blank-be certain to enter " wherever required. Negative values should be indicated by a minus sign. Round down your answers to the nearest whole number)
Explanation / Answer
Given data,
Manufacturing Cost per set =$210
Inventory Storage Cost per month = $5
Cost of lost sales = $21
Inventory at the beginning of planning period = 210 units
Labor hours per unit = 10
Working hours in a day = 8
Working days in a month except for July = 23
Working days in July = 7
Total Working hours per labor = 2080hrs [(8hrs * 23 days * 11) + (8hrs * 7days * 1)]
Total demand = 6610
Let Total Production Capacity = 6647 [assumed production>demand]
Labor hours required for production = 6647 units * 10
= 66470 hrs
Total Workforce = 32 [2080 hrs p.a – 1 worker, for 66470 hrs - ? workers]
Production per month is assumed as follows:
Month
Production
January
32 workers *23 days * 8 hrs / 10
588
February
588
March
588
April
588
May
588
June
588
July
32 workers * 7 days * 8 hrs / 10
179
August
588
September
588
October
588
November
588
December
588
Schedule Showing Inventory at the beginning, Available Production, Ending Inventory, Lost Sales (in units):
Month
Opening Inventory
Production
Total Stock available for sale
Sales
Lost Sales
Closing Inventory
January
210
588
798
600
0
198
February
198
588
786
800
14
0
March
0
588
588
900
312
0
April
0
588
588
600
12
0
May
0
588
588
400
0
188
June
188
588
776
300
0
476
July
476
179
655
200
0
455
August
455
588
1043
200
0
843
September
843
588
1431
300
0
1131
October
1131
588
1719
700
0
1019
November
1019
588
1607
800
0
807
December
807
588
1395
810
0
585
6647
6610
338
Schedule Showing Inventory at the beginning, Available Production, Ending Inventory, Lost Sales (in values):
Month
Opening Inventory
Production
Lost Sales
Closing Inventory
Inventory Storage Cost
January
44100 (210*210)
123480
(588*210)
0
41580
(198*210)
$5
February
41580
(198*210)
123480
(588*210)
294
(14*21)
0
$5
March
0
123480
(588*210)
6552
(312*21)
0
$5
April
0
123480
(588*210)
252
(12*21)
0
$5
May
0
123480
(588*210)
0
39480
(188*210)
$5
June
39480
(188*210)
37590
(179*210)
0
99960
(476*210)
$5
July
99960
(476*210)
123480
(588*210)
0
95550
(455*210)
$5
August
95550
(455*210)
123480
(588*210)
0
177030
(843*210)
$5
September
177030
(843*210)
123480
(588*210)
0
237510
(1131*210)
$5
October
237510
(1131*210)
123480
(588*210)
0
213990
(1019*210)
$5
November
213990
(1019*210)
123480
(588*210)
0
169470 (807*210)
$5
December
169470 (807*210)
123480
(588*210)
0
122850
(585*210)
$5
1395870
7098
60
Month
Production
January
32 workers *23 days * 8 hrs / 10
588
February
588
March
588
April
588
May
588
June
588
July
32 workers * 7 days * 8 hrs / 10
179
August
588
September
588
October
588
November
588
December
588