Concept explainers
a)
To determine: The change in the items due to the change in the lead time of item G.
Introduction:
Net requirements plan:
The net requirements plan is the plan which is established on the gross requirements plan formed by deducting the stock on and the
b)
To determine: The implications of the production plan because of change in the lead time of item G.
Introduction:
Net requirements plan:
The net requirements plan is the plan which is established on the gross requirements plan formed by deducting the stock on and the scheduled receipts. If the total requirement is below the safety stock levels, a planned order is made based on the given lot sizing technique.
c)
To determine: The options by which the
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