Aggregate Planning - Wrap up

Aggregate planning is capacity planning for:

• typically one or more years.

• the intermediate range.

• the short range.

• typically one to three months.

Which of the following is an input to aggregate planning?

• ending inventory

• setup costs

• demand forecasts for each period

• quantity discounts

In doing aggregate planning for a firm producing paint, the aggregate planners would most likely deal with:

• just gallons of paint, without concern for the different colors and sizes.

• gallons of paint, but be concerned with the different colors to be produced

• gallons, quarts, pints, and all the different sizes to be produced.

• all the different sizes and all the different colors by size.

Which one of the following is not a basic option for altering demand?

• promotion

• backordering

• pricing

• subcontracting

One option for altering the availability of capacity is

• use of overtime or slack time

• pricing

• promotion

• back orders

In using the chase strategy, variations in demand could be met by

• promotions

• varying output during regular time by changing employment levels

• varying inventory levels

• using some combination of inventories, and back orders