Manufacturer of a special engineering workstation

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Calpal is a small manufacturer of a special engineering workstation. The company operates one plant with a monthly capacity of 3,000 units. In addition, 750 units can be produced on an overtime basis, which is 30% more expensive, on the average. The labor cost when producing a regular time is $1,000; it is $1,300 on overtime (per workstation produced). The company may use inventories to reduce fluctuations in production, but carrying inventories costs money. The cost of carrying one finished unit in inventory is $80 per unit per month. answer on lingo

Reference no: EM13923652

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Manufacturer of a special engineering workstation : Calpal is a small manufacturer of a special engineering workstation. The company operates one plant with a monthly capacity of 3,000 units. In addition, 750 units can be produced on an overtime basis, which is 30% more expensive, on the average.

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