1. A paint company mixes ten different base colors into 3,000 different color options. If the MPS is organized around the ten different base colors their bills of material are classified as
A) Phantom
B) Planning
C) Modular
D) Low-Level
E) A and B
2. Given the following bill of material

If the demand for product A is 50 units, what will be the gross requirement for component E?
A) 50
B) 100
C) 150
D) 200
E) 300
3. Each R requires 4 of component S; each S requires 3 of part T. The lead time for assembly of R is 1 week. The lead time for the manufacture of S is 2 weeks. The lead time for the procurement of T is 6 weeks. The cumulative lead time for R is __________ weeks.
A) 6
B) 9
C) 12
D) 18
E) 28
4. The MPS calls for 110 units of Product M. There are currently 30 of Product M on hand. Each M requires 4 of Component N. There are 20 units of N on hand. The net requirements for N are
A) 150
B) 170
C) 300
D) 320
E) 440
5. Which of the following statements is true about the MRP plan when using lot-for-lot ordering?
A) The quantity of gross requirements for a child item is always equal to the quantity of planned order releases for its parent.
B) The quantity of gross requirements for a child item is equal to the quantity of planned order release(s) multiplied by the number of child items used in the parent assembly.
C) The quantity of gross requirements for a child item is always equal to the quantity of gross requirements for its parent.
D) The quantity and gross requirements for a child item is always equal to the quantity of net requirements for its parent.
E) All of the above are true.
6. What lot-sizing technique is generally preferred when inventory holding costs are extremely high?
A) lot-for-lot
B) EOQ
C) part-period balancing
D) The Wagner-Whitin algorithm
E) All of the above are appropriate for thesituation.

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