Assignment:
A company is planning a production of items for the next year. the demand is given in the following table. Holding inventory cost $10 per item month. Setups in a period cost $100. No backorders are allowed.
A. Formulate this problem
B. Add constraints to limit the production of items to less than 200 per month.
|
Month
|
1
|
2
|
3
|
4
|
5
|
6
|
7
|
8
|
9
|
10
|
11
|
12
|
|
Demand
|
80
|
50
|
70
|
95
|
100
|
210
|
140
|
100
|
60
|
50
|
32
|
12
|
Provide complete and step by step solution for the question and show calculations and use formulas.