Question Three The table below gives the gross requirements for the final products A and B during the last six weeks. Each unit of A uses three units of C and each unit of B uses three units of C....


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Question Three<br>The table below gives the gross requirements for the final products A and B during the last six<br>weeks. Each unit of A uses three units of C and each unit of B uses three units of C. Each unit<br>of C uses four units of D. Assume that A and B can be produced in zero time once enough C is<br>available. The lead-time for both Cand Dis one week. At the beginning of Week 1, 120 units of<br>C and 160 units of D are on hand. 50 units of C and 80 units of D are scheduled to be received<br>at the beginning of week 2. The average weekly demand for D is 100units. The cost per<br>production run is $200, and the cost of holding one unit in inventory for one week is $4.<br>WEEK<br>1<br>2<br>3<br>30<br>A<br>20<br>10<br>20<br>B<br>10<br>30<br>10<br>10<br>Determine the MRP record for D using:<br>a)<br>b) EOQ Lot sizing method<br>POQ (P=2)<br>c)<br>Part-period balancing lot-sizing is used<br>d)<br>Which method is the most cost effective?<br>

Extracted text: Question Three The table below gives the gross requirements for the final products A and B during the last six weeks. Each unit of A uses three units of C and each unit of B uses three units of C. Each unit of C uses four units of D. Assume that A and B can be produced in zero time once enough C is available. The lead-time for both Cand Dis one week. At the beginning of Week 1, 120 units of C and 160 units of D are on hand. 50 units of C and 80 units of D are scheduled to be received at the beginning of week 2. The average weekly demand for D is 100units. The cost per production run is $200, and the cost of holding one unit in inventory for one week is $4. WEEK 1 2 3 30 A 20 10 20 B 10 30 10 10 Determine the MRP record for D using: a) b) EOQ Lot sizing method POQ (P=2) c) Part-period balancing lot-sizing is used d) Which method is the most cost effective?

Jun 10, 2022
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