The following information relates to a company's aggregate production planning activities:
Beginning Workforce = 125 workers
Production per Employee = 500 units per quarter
Hiring Cost = $750 per worker
Firing Cost = $1,500 per worker
Inventory Carrying Cost = $10 per unit per quarter
If a chase demand strategy is used the number of workers fired in quarter 3 is
A) 0
B) 40
C) 50
D) 75
Correct Answer:
Verified
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