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A Birmingham, Alabama, foundries produces cast-iron ingots according to a 3-month capacity plan. The cost of labor averages $100 per regular shift hour and $140 per overtime (O.T.) hour. Inventory carrying cost is thought to be $4 per labor-hour of inventory carried. There are 50 direct labor-hours of inventory left over from March. For the next 3 months demand and capacity (in labor-hours) are as Month Regular labor (hours) O.T. Labor (hours) Demand APR 2880 355 3000 MAY 2780 315 2750 JUN 2760 305 2950 Develop an aggregate plan for the 3-month period using the transportation method. a. What is the overall cost of this plan

User Eking
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