The forecasted demand is 1500, 1600, 1300, 1100, for quarters 1,2,3,4, respectively. The beginning and ending annual inventory is 600, no negative inventory is allowed, unit carrying cost is $2/item/quarter, hiring cost is $92/worker, firing cost is $84/worker, and the labor standard is 6.5 hours/unit.
What is the minimum cost of the optimal production plan where the total annual cost consists of carrying, hiring, and firing?
(A) $1125 (B) $5900 (C) $2850 (D) $3300 (E) none of the above