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If inventory costs 100unitmonth what is the total cost of

The Allswell Manufacturing company estimates that it will have an inventory of 1,000 units at the beginning of January. It is mid-December and the current production is 8,000 units per month. Projected monthly demand (in thousands) for the coming year is as follows:

Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Demand 7 8 9 12 13 15 10 10 12 13 12 11

a. Plot this data and analyze it.

b. Using level production, what amount production should be planned for each month?

c. If inventory costs $1.00/unit/month, what is the total cost of inventory?

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Supply Chain Management: If inventory costs 100unitmonth what is the total cost of

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