Question: QUESTION 20 Based upon Booked Orders and Sales Predictions, we expect to need the following finished goods over the planning period: 160 Product A We

QUESTION 20 Based upon Booked Orders and Sales

QUESTION 20 Based upon Booked Orders and Sales Predictions, we expect to need the following finished goods over the planning period: 160 Product A We currently have the following Finished Goods Products in Inventory: 100 Product A We have scheduled the following to be produced in the factory within the planning period: 10 Product A How many products should we include on future Planned Production Orders? Simplified MRP Calculations PP = maximum(0, FC - FG - RP) PO new= maximum(0, PP - RM available - SR) PP = Planned Production Orders O Requests for additional finished goods to be produced FC = Forecast for Finished Goods Requirements O Requirements or anticipated requirements over the planning period FG = Finished Goods Currently On-Hand RP = Released Production 0 Production orders that have been released to the production process POnew = New Purchase Orders for Raw Materials that will be needed RM available = Raw Materials that are not currently dedicated to Released Production Orders SR = Scheduled Receipts o Orders for raw materials that have been ordered, but have not yet arrived 0 A. 10 0 0 E. 30 F. 20 G.60

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