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Problem 1: Prepare a Master Schedule given the following information: The forecast for each week is 70 units. The starting inventory is Zero. The production

Problem 1:

Prepare a Master Schedule given the following information:

  • The forecast for each week is 70 units.
  • The starting inventory is Zero.
  • The production lot size is 150 (MPS) for weeks 1, 3, and 5.
  • Calculate the Projected on-hand inventory (POI)
  • Calculate the Available to Promise (ATP)
  • The following table shows the committed customer orders as follows:
Week Customer order
1 80
2 50
3 60
4 65
5 60
6 70

Week
Beginning inventory=0 1 2 3 4 5 6
Forecast
Customer Orders
Projected On-Hand Inventory
MPS

Formulas for Projected On-Hand Inventory

Week 1 = Beginning Inventory + MPS MAX (Forecast: Customer Order)

Highest number

Weeks 2 6 = Previous Week Inventory + MPS (greater Forecast and Customer Order)

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