15. Product D is stocked only at the AMC Chemical Company’s Dallas warehouse and at the company’s plant warehouse in Akron. The sales director has forecast product sales from the Dallas warehouse to be 40 units per week. Product D is manufactured at the firm’s Akron plant using 2 units of ingredient X per unit of product D.

a. Complete the DRP records for product D at the Dallas warehouse and the plant warehouse as well as the MRP record for ingredient X using the following information. (Assume ingredient X is only used in product D.)

Week Product D/Dallas Warehouse 1 2 3 4 5 6 7 8 Forecast requirements In transit Projected available balance 85 Planned shipments Q = LFL; SS = 5 units; LT = 2 weeks.

Problems 389 Week Product D/Plant Warehouse 1 2 3 4 5 6 7 8 Gross requirements Scheduled receipts 46 Projected available balance 2 Planned order release Q = LFL; SS = 8 units; LT = 1 week.

Week Ingredient X 1 2 3 4 5 6 7 8 Gross requirements Scheduled receipts 320 Projected available balance 4 Planned order release Q = 320 units; SS = 2 units; LT = 4 weeks.

b. Actual sales for product D at the Dallas warehouse in week 1 were 48 units and all planned shipments/orders were released. Prepare DRP and MRP records as of the beginning of week 2. What actions should the master production scheduler take on the basis of this information?

Week Product D/Dallas Warehouse 2 3 4 5 6 7 8 9 Forecast requirements In transit Projected available balance Planned shipments Q = LFL; SS = 5 units; LT = 2 weeks.

Week Product D/Plant Warehouse 2 3 4 5 6 7 8 9 Gross requirements Scheduled receipts Projected available balance Planned order release Q = LFL; SS = 2 units; LT = 2 weeks.

390 Chapter 10 Distribution Requirements Planning Week Ingredient X 2 3 4 5 6 7 8 9 Gross requirements Scheduled receipts Projected available balance Planned order release Q = 320 units; SS = 2 units; LT = 4 weeks.

c. Suppose product D’s actual sales at the Dallas warehouse in week 2 were 31 units. Again, all planned shipments/orders were released and expedite actions taken. What action would the master scheduler take on the basis of this information? In this situation, what modifications to the master production schedule might be taken?