The following information is available for an MRP problem. The BOM file shows that Product A...

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Operations Management

The following information is available for an MRP problem. TheBOM file shows that Product A is made of three units of Part B andone unit of Part C. Part C is made of four units of Part D, threeunits of Part E, and two units of Part F. Checking the correctstatements results in earning credits, while checking incorrectstatements results in losing a half of a correct statement.

Item

Quantity (in millions)

Lead Time (periods)

A

4

1

B

5

5

C

2

2

D

3

4

E

4

3

F

20

5

The Master Production Schedule requirements for the finishedproduct are as follows (in millions):

Period

1

2

3

4

5

6

7

8

9

10

A

0

0

0

0

0

1

4

8

4

6

a.

net requirement for E in period 5 is 17.

b.

gross requirement for B in period 7 is not 18.

c.

net requirement for B in period 8 is 22.

d.

net requirement for F in period 7 is not 15.

e.

on hand inventory for C in period 6 is 1.

f.

planned order releases for F in period 2 is 12.

g.

the BOM structure has 4 levels.

h.

on hand inventory for F in period 5 is 0.

i.

planned order release for D in period 3 is not 24.

j.

gross requirement for E in period 6 is 1.

Answer & Explanation Solved by verified expert
3.6 Ratings (621 Votes)
Solution Following statements are true A net requirement for E in period 5 is 17 B gross requirement for B in period 7 is not 18 D net requirement for F in period 7 is not 15 E on hand inventory for C in period 6 is 1 F planned order releases for F in period 2 is 12 I planned order release for D in period 3 is not 24 A LT 1 On Hand 1 2 3 4 5 6 7 8 9 10 Total Gross Requirements 0 0 0 0 0 1 4 8 4 6 23 Scheduled    See Answer
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