Daves stove-top popcorn currently has three full-time, Ask an Expert

Management Studies

Dave's Stove-Top Popcorn currently has three full-time employees who are each paid $1,300 per month. An employee can only work a maximum of 100 hours per month because production normally takes place at night. They do receive $1,300 even if they do not work 100 hours, however. Part-time employees can be hired at a cost of $50 per hour. Dave's Stove-Top Popcorn has forecasted that demand for the next six months will be as follows: Month 1 2 3 4 5 6 Hours 350 295 420 420 520 110

a-1. Develop a production plan if Dave relies on part-time employees to meet additional demand? (Leave no cells blank - be certain to enter "0" wherever required.)

a-2. What is the total cost if Dave relies on part-time employees to meet additional demand?

b-1. Develop a production plan if Dave hires one more full-time employee to meet additional demand? (Leave no cells blank - be certain to enter "0" wherever required.)

b-2. What is the total cost if Dave hires one more full-time employee to meet additional demand?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92207206

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