Question: Given the following initial inventory, forecast and order quantities for an item. The MPS or the lot size is 100 because of the production run.

  1. Given the following initial inventory, forecast and order quantities for an item. The MPS or the lot size is 100 because of the production run. Production rule is to schedule when the projected on- hand is less than 10. Use the worksheet on the next page to answer the question. (10 pts.)

  1. Projected Ending inventory
  2. Availabletopromise inventory (ATP).

ATP 1st week = On hand inventory + MPS customer orders till next MPS

ATP = MPS quantity Booked orders till next MPS

On- hand/Beginning Inventory 60

June

July

1

2

3

4

5

6

7

8

Forecast

60

85

110

90

120

45

55

80

Booked Orders(com mitted)

70

60

35

20

Requirements=

Max (F, OB)

Projected Ending Inventory

MPS

AvailableTo Promising Inventory (ATP)

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