Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

This company produces a family of two computers, Models A and B. The master production plan is in weeks. Beginning inventory for the family

  

This company produces a family of two computers, Models A and B. The master production plan is in weeks. Beginning inventory for the family is 600 units, and the plan is to reduce that to 300 units or less by the end of the month. The MPS is made using weekly periods. There are 4 weeks in this month. Statistically, 1/3 of the family forecast is driven by Model A and 2/3 by Model B. The forecast for the family is shown below: Week Forecast Model A: Week Forecast Customer Orders 1 280 PAB ATP MPS The lot sizing policy for Model A is 100 units and has a safety stock of 40 units. There are 300 units on hand of Model A. The lot size is 100 units and a safety stock of 50 units for Model B. There are 300 units on hand for Model B. Actual customer orders were provided. a. (20 points). Complete the MPS records: 1 2 250 40 2 3 200 105 3 4 150 0 4 Total 880 100 Model B: Week 1 Forecast Customer Orders 245 PAB ATP MPS 2 80 3 100 4 110 b. (3.75 points). Could the inventory target of 300 units be reached based on your production plan? Justify your answer. c. (3.75 points). For Model B, an order for 120 units was requested to be added in week 2. Do you accept that order? Yes, no and why? Justify your answer.

Step by Step Solution

3.37 Rating (150 Votes )

There are 3 Steps involved in it

Step: 1

Answer Family forecast for 4 weeks given which consists of two types Models A B and the in the r... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Materials Management

Authors: Arnold J. R. Tony, Gatewood Ann K., M. Clive Lloyd N. Chapman Stephen

8th edition

9386873249, 134156323, 978-9386873248

More Books

Students also viewed these Accounting questions

Question

Explain the importance of staffing in business organisations

Answered: 1 week ago

Question

What are the types of forms of communication ?

Answered: 1 week ago

Question

Explain the process of MBO

Answered: 1 week ago

Question

What is a material requirements plan?

Answered: 1 week ago

Question

What is wealth, and how is it created?

Answered: 1 week ago