# Compute The Average Bias And Indicate Whether It’s Over-biased Or Under-biased.

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Compute the average bias and indicate whether it’s over-biased or under-biased. (2 Pts) The Catoctin Furnace demand forecasts for the next 4 quarters are shown below. The operational costs and additional information are listed below. Use this information to answer Qu: 11-12 Hiring Cost = \$100/Employee; Firing Cost = \$500/Employee; Initial Workforce level = 100 Employees; Production Cost = \$2/ lb; Production per Employee = 1000 lbs; Inventory Carrying Cost = \$0.5/ lb; Starting Inventory = 2,000 units. Quarter Sales Forecast (lbs) Spring 80000 Summer 50000 Fall 120000 Winter 150000 Let: R. = # of units produced in house using regular hours for quarter t I, = # of units in inventory at the end of quarter t H = # of employees hired for quarter t Ft = # of units produced in house using regular hours
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