Question: 1.(15 Marks) The demand for product A (Lead Time 1 Week) is 150 units at the end of week 6. Each unit of product A

1.(15 Marks) The demand for product A (Lead Time

1.(15 Marks) The demand for product A (Lead Time 1 Week) is 150 units at the end of week 6. Each unit of product A requires 2 units of sub-component A1 (Lead Time 2 Weeks) and 3 units of sub-component A2 (Lead Time 2 Weeks). Each unit of A1 requires 2 units of sub-component B1 (Lead Time 2 Weeks), 1 unit of sub-component B2 (Lead Time 3 Weeks), and 4 units of sub-component B3 (Lead Time 1 Week). Finally, each unit of A2 requires 3 units of sub-component B4 (Lead Time 2 Weeks) and 1 unit of sub-component B3. a) Construct a product structure tree at the lowest level coding (e.g., Identify all levels, parents, and components). b) Construct a Materiel Requirements Plan (MRP) using the following on-hand inventory. Item A A1 A2 B1 B2 B3 B4 On-hand Inventory 30 40 20 30 250 25 80 c) Assume product A has an annual demand of 900, ordering cost of $20 per order, and holding cost of $10 per unit. Complete the below table for Lot-Size Ordering - EOQ and Lot-Size Ordering - EPQ(POQ) for 10 weeks. Which one is cheaper? Week 1 2 3 4 5 6 7 8 9 10 45 45 0 0 35 60 80 0 10 40 Gross Requirement Projected 45 on-hand Net Requirement Planned Order Receipts Planned Order Released

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