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Q4: M/S XYZ Company Manufactures Sports bikes and supplies them to the local market. A local sub-contracting manufacturer supplies the wheels to the M/S
Q4: M/S XYZ Company Manufactures Sports bikes and supplies them to the local market. A local sub-contracting manufacturer supplies the wheels to the M/S XYZ Company through a purchase contract. The sub-contracting company initially purchases aluminium billets as raw material and manufactures wheels by forming each bilet into wheel rims. Both the rims (hont and rear) are assembled with spokes, front and rear hubs. Front wheels comprise a front rim, 24 spokes and a front hub. Rear wheels comprise a rear rim, 24 spokes and a rear hub (i) Draw the Bill of Material (BOM) tree for the front and rear wheels [4 Marks] (i) Referring to table 40) and 4), complete the Material Requirements Planning (MRP) and determine when to Purchase Orders placed for the spokes [26 Marks) Table 400 Week 12 13 14 15 Demand for the bikes Demand of Front Rim 80 70 120 16 100 17 65 50 IN 40 30 125 The demand of Rear Rim 70 00 BO Table 4 (10) Part/Component Lead Time Stock on Hand Batch Size Safety Stock Bike Front wheel 160 100 0 120 120 100 Rear wheel 1 60 150 125 Front Ram 2 70 150 100 Rear Rim 2 170 100 100 Front Hub 1 80 150 1160 Rear Hub 140 100 150 Spokes 8500 3.000 1.100
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