Estions Problem 14-25 Algo (Strategies for Aggregate Production Planning)

The forecasted demand for fudge for the next four months is 280, 220, 240, and 300 pounds.

a. What is the recommended production rate if a level strategy is adopted with no backorders or stockouts? What is the endin

Round your answers to the nearest whole number.

.

ОО

.

Production rate:

pounds/month

5.

Ending inventory (month 4):

pounds

b. What is the level production rate with no ending inventory in month 4? Round your answer to one decimal place.

Production rate:

pounds/month

The new drug appears to reduce insomnia since the re-randomized mean differences are close to the mean difference found between the two groups studied.

Step-by-step explanation:

The group given the new drug reported an average of 3.3 nights they suffered insomnia a month. Therefore the mean of this group is 3.3.

On the other hand, the control group receiving the placebo reported an average of 9.5 nights they suffered insomnia a month. Therefore, the mean of this control group is 9.5.

The population mean difference between these two groups is thus;

9.5 - 3.3 = 6.2

This difference is very significant inferring that the new drug appears to reduce insomnia. Nevertheless, this mean difference is considerably close to the difference of the means from re randomization. Therefore we can conclude that,

The new drug appears to reduce insomnia since the re-randomized mean differences are close to the mean difference found between the two groups studied.