Situation #1: 2 separate productions, Northern Mindanao forecast to be produced in Cagayan de Oro (CDO) Plant and Souther

CDO Plant

1 2 3 4
Demand Units 20,000 18,000 22,000 19,000
Cumulative Demand (Units) 20,000 38,000 60,000 79,000
Periodic Production Units 20,500 20,500 20,500 20,500
Cumulative Production Units 20,500 41,000 61,500 82,000
Cum Demand minus Comm Production -500 -3,000 -1,500 -3,000
Ending inventory units 1,500 4000 2,500 4,000
Back Order Units 0 0 0 0
Served 20,000 18,000 22,000 19,000

Cost Calculations Unit cost 1 2 3

Production Cost (Regular per box) 11 225,500.00 225,500.00 225,500.00
Production Cost (Overtime per box) 16
Production Cost (Sub-contract) per box none
Inventory Carrying Cost 2.5 3,750.00 10,000.00 6,250.00
Back ordering cost 21.0
Total Cost
ro (CDO) Plant and Southern Mindanao Forecast to be produced in Davao Plant.

PERIOD
5 6 7 8 9 10
17,000 18,000 21,000 16,000 19,000 22,000
96,000 114,000 135,000 151,000 170,000 192,000
20,500 20,500 20,500 20,500 20,500 20,500
102,500 123,000 143,500 164,000 184,500 205,000
-6,500 -9,000 -8,500 -13,000 -14,500 -13,000
7,500 10,000 9,500 14,000 15,500 14,000
0 0 0 0 0 0
17,000 18,000 21,000 16,000 19,000 22,000

4 5 6 7 8 9
225,500.00 225,500.00 225,500.00 225,500.00 225,500.00 225,500.00

10,000.00 18,750.00 25,000.00 23,750.00 35,000.00 38,750.00

 11 12 Total
26,000 29,000 247,000
218,000 247,000
20,500 20,500
225,500 246,000
-7,500 -1,000
8,500 0 91,000
0 0 1000
26,000 29,000

10 11 12 Total
225,500.00 225,500.00 225,500.00 2,706,000.00

35,000.00 21,250.00 - 227,500.00

- -
2,933,500
 1 2 3
Demand Units 23,000 21,600 26,500
Cum Demand (Units) 23,000 44,600 71,100
Periodic production units 24383 24383 24383
Cum Production (Units) 24383 48767 73150
Cum Demand Minus Comm Production -1,383 -4,167 -2,050
Ending inventory 2,383 5,167 3,050
Back order
Served 23000 21600 26500

Cost Calculations Unit Cost 1 2

Production Cost (Regular) per box 11.15 271,874.13 271,874.13
Production Cost (Overtime) per box 16.5
Production Cost (Sub-contract) per box 17
Inventory Carrying Cost 2.5 5,957.50 12,917.50
Back ordering Cost 21
Transportation Cost 12 - -
Total Cost

TOTAL COST OF PRODUCTION (Davao & CDO plant) 6,461,739.55

 PERIOD
4 5 6 7 8 9 10
22,000 21,000 21,500 25,000 19,500 23,000 26,000
93,100 114,100 135,600 160,600 180,100 203,100 229,100
24383 24383 24383 24383 24383 24383 24383
97533 121917 146300 170683 195067 219450 243833
-4,433 -7,817 -10,700 -10,083 -14,967 -16,350 -14,733
5,433 8,817 11,700 11,083 15,967 17,350 15,733

22000 21000 21500 25000 19500 23000 26000

3 4 5 6 7 8 9
271,874.13 271,874.13 271,874.13 271,874.13 271,874.13 271,874.13 271,874.13

7,625.00 13,582.50 22,042.50 29,250.00 27,707.50 39,917.50 43,375.00

- - - - - - -
 11 12
30,500 34,000 293,600
259,600 293,600
24383 24383 292600
268217 292600
-8,617 1,000
9,617 0
0
30500 34000

10 11 12 Total
271,874.13 271,874.13 271,874.13 3,262,489.55

39,332.50 24,042.50 - 265,750.00

-
- - -
3,528,239.55
Situation 2: Northern and Southern Mindanao forecasts will be produced in Davao Plant only.

1 2 3 4
Demand Units 43,000 39,600 48,500 41,000
Cumulative Demand 43,000 82,600 131,100 172,100
Periodic Production Units 44,967 44,967 44,967 44,967
Cumulative Production Units 44,967 89,933 134,900 179,867
Cumulative Demand Minus Cum Production -1,967 -7,333 -3,800 -7,767
Ending Inventory 2,967 8,333 4,800 8,767
Back order units 0 0 0 0
Served 43000 39600 48500 41000

Cost Calculations Unit Cost 1 2 3

Production Cost (Regular) per box 11.15 457,150.00 457,150.00 457,150.00
Production Cost (Overtime) per box 16.5 65,455.50 65,455.50 65,455.50
Production Cost (Sub-contract) per box 17
Inventory Carrying Cost 2.5 7,417.50 20,832.50 12,000.00
Back ordering Cost 21 - - -
Transportation Cost 12 240,000.00 216,000.00 264,000.00
Total

Cost Calculations (if subcontract) Unit Cost 1 2 3

Production Cost (Regular) per box 11.15 457,150.00 457,150.00 457,150.00
Production Cost (Overtime) per box 16.5
Production Cost (Sub-contract) per box 17 67,439.00 67,439.00 67,439.00
Inventory Carrying Cost 2.5 7,417.50 20,832.50 12,000.00
Back ordering Cost 21
Transportation Cost 12 240,000.00 216,000.00 264,000.00
Total
 PERIOD
5 6 7 8 9 10 11
38,000 39,500 46,000 35,500 42,000 48,000 56,500
210,100 249,600 295,600 331,100 373,100 421,100 477,600
44,967 44,967 44,967 44,967 44,967 44,967 44,967
224,833 269,800 314,767 359,733 404,700 449,667 494,633
-14,733 -20,200 -19,167 -28,633 -31,600 -28,567 -17,033
15,733 21,200 20,167 29,633 32,600 29,567 18,033
0 0 0 0 0 0 0
38000 39500 46000 35000 42000 48000 56500

4 5 6 7 8 9 10
457,150.00 457,150.00 457,150.00 457,150.00 457,150.00 457,150.00 457,150.00
65,455.50 65,455.50 65,455.50 65,455.50 65,455.50 65,455.50 65,455.50

21,917.50 39,332.50 53,000.00 50,417.50 74,082.50 81,500.00 73,917.50

- - - - - - -
228,000.00 204,000.00 216,000.00 252,000.00 192,000.00 228,000.00 264,000.00

4 5 6 7 8 9 10
457,150.00 457,150.00 457,150.00 457,150.00 457,150.00 457,150.00 457,150.00

67,439.00 67,439.00 67,439.00 67,439.00 67,439.00 67,439.00 67,439.00

21,917.50 39,332.50 53,000.00 50,417.50 74,082.50 81,500.00 73,917.50

228,000.00 204,000.00 216,000.00 252,000.00 192,000.00 228,000.00 264,000.00

 12
63,000 540,600
540,600
44,967 539,600
539,600
1,000
0
0 0
63000

11 12 TOTAL
457,150.00 457,150.00 5,485,800.00
65,455.50 65,455.50 785,466.00

45,082.50 0.00 479,500.00

- - -
312,000.00 348,000.00 2,964,000.00
9,714,766.00

11 12 Total
457,150.00 457,150.00 5,485,800.00

67,439.00 67,439.00 809,268.00

45,082.50 0.00 479,500.00
- 84.00
312,000.00 348,000.00 2,964,000.00
9,738,652.00
Situation #3: Northern and Southern Mindanao forecasts will be produced in CDO Plant only.

1 2 3 4
Demand Units 43000 39600 48500 41000
Cumulative Demand (Units) 43000 82600 131100 172100
Periodic Production Units 44967 44967 44967 44967
Cumulative Production Units 44967 89933 134900 179867
Cum Demand minus Cum Production -1967 -7333 -3800 -7767
Ending Inv. Units 2967 8333 4800 8767
Back order units 0 0 0 0

Cost Calculations Unit Cost 1 2 3

Production Cost (Regular per box) 11 440,000.00 440,000.00 440,000.00
Production Cost (Overtime per box) 16 79,472.00 79,472.00 79,472.00
Production Cost (Sub-contract) per box none
Inventory Carrying Cost 2.5 7,417.50 20,833.33 12,000.00
Back ordering cost 21.0 - - -
Transportation Cost 12.5 287,500.00 270,000.00 331,250.00
Total Cost
 PERIOD
5 6 7 8 9 10 11
38000 39500 46000 35500 42000 48000 56500
210100 249600 295600 331100 373100 421100 477600
44967 44967 44967 44967 44967 44967 44967
224833 269800 314767 359733 404700 449667 494633
-14733 -20200 -19167 -28633 -31600 -28567 -17033
15733 21200 20167 29633 32600 29567 18033
0 0 0 0 0 0 0

4 5 6 7 8 9 10
440,000.00 440,000.00 440,000.00 440,000.00 440,000.00 440,000.00 440,000.00
79,472.00 79,472.00 79,472.00 79,472.00 79,472.00 79,472.00 79,472.00

21,916.67 39,333.33 53,000.00 50,416.67 74,083.33 81,500.00 73,916.67

- - - - - - -
275,000.00 262,500.00 268,750.00 312,500.00 243,750.00 287,500.00 325,000.00
 12 Total
63000 540600
540600
44967 539600
539600
1000
0 191800
0 0

11 12 Total
440,000.00 440,000.00 5,280,000.00
79,472.00 79,472.00 953,664.00

45,083.33 - 479,500.83
- - -
381,250.00 425,000.00 3,670,000.00
10,383,164.83