Question: ( please calculate by hand no excel ) Question 2 . Material Requirements Planning ( 2 5 marks ) The MRP gross requirements for product

(please calculate by hand no excel)
Question 2. Material Requirements Planning (25 marks)
The MRP gross requirements for product A in the next 12 weeks are shown in the following table. The lead time
for A is two weeks, and the setup cost is $200. The carrying cost is $0.3 per unit per day. Suppose the initial
inventory at the beginning of week 1 is 130 units.
Questions:
(1) Determine for what quantity the order should be planned to be received for each week using the following
three lot-sizing methods: lot-for-lot, least total costs, and least unit cost. Hint: production should be scheduled
when the initial inventory are all consumed. (3 marks for each lot-sizing methods)
(2) The product structure diagram for producing item A is given as follows.
The beginning inventory in week 1 for item B and C are 100 units and 150 units respectively. The lead time for
both item B and item C is one week. There are 50 units of item B scheduled to be received at the beginning of
week 2 and 100 units of item C scheduled to be received at the beginning of week 4.
Suppose A is produced based on the lot-for-lot method, and B and C are produced in batches with a fixed batch
size of 100 units and 150 units respectively. Complete the MRP schedule for A,B, and C in the following tables.
(4 marks for A; 6 marks for B;6 marks for C )
 (please calculate by hand no excel) Question 2. Material Requirements Planning

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