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A company is manufacturing product X. To produce one unit of product X, the company has to purchase one unit of component A & two units of component B. Show the MRP using the

A company is manufacturing product X. To produce one unit of product X, the company has to purchase one unit of component A & two units of component B. Show the MRP using the

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter9: Decision Making Under Uncertainty
Section9.6: The Role Of Risk Aversion
Problem 27P
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A company is manufacturing product X. To produce one unit of product X, the company has to purchase one unit of component A & two units of component B. Show the MRP using the following information:
Weeks                                     1        2             3    4    5    6
Demand for  Product X       20   30     87     99      100     570

                                      Product x                                                  Component A      Component B
Production run time            1 week                  Lead time                  1 week         2 week
Min Production Quantity    50 units    Min Purchase Quantity          60 units         60 units
Inventory on Hand             90 units    Inventory on Hand                 200 units   150 units
Safety Stock                                         Safety Stock                         20 units    
Scheduled Receipts                             Scheduled Receipts        20 units in week 1

Answer all the following questions: 1- A company is manufacturing product X. To produce one unit of product X, the company has to purchase one unit of component A & two units of component B. Show the MRP using the following information Weeks 1 3 5 6. Demand for 20 30 87 99 100 570 product X Product X Component Component A B Production 1 week Lead Time 1 week 2 weeks Run Time Min 50 units Min 60 units 60 units Production Purchase Quantity Quantity Inventory 90 units Inventory on Hand 200 units 150 units on Hand Safety Stock Safety 20 units Stock Scheduled Scheduled 20 units in Receipts Receipts week 1 2.
Transcribed Image Text:Answer all the following questions: 1- A company is manufacturing product X. To produce one unit of product X, the company has to purchase one unit of component A & two units of component B. Show the MRP using the following information Weeks 1 3 5 6. Demand for 20 30 87 99 100 570 product X Product X Component Component A B Production 1 week Lead Time 1 week 2 weeks Run Time Min 50 units Min 60 units 60 units Production Purchase Quantity Quantity Inventory 90 units Inventory on Hand 200 units 150 units on Hand Safety Stock Safety 20 units Stock Scheduled Scheduled 20 units in Receipts Receipts week 1 2.
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