Question: Question 3 - Material Requirement Plan for iPhone Model F (5 marks) Apple, the world-leading mobile device manufacturer, is preparing the materials for the production

Question 3 - Material Requirement Plan for iPhone
Question 3 - Material Requirement Plan for iPhone Model F (5 marks) Apple, the world-leading mobile device manufacturer, is preparing the materials for the production of the latest model F, which the final product F is assembled by the subassemblies and components as shown in the product structure tree below. If you are given the following information regarding the forecast demand of Product F, on-hand inventory, scheduled receipt, order lead time and minimum order quantity. Prepare the material requirement planning reports for all the components. (4 marks) Model F Sub A (1) Sub B (3) Compc (2) Comp D (1) Comp D (2) Comp E (3) number in brackets show the quantity required for that item to make one unit of its parent. Week 2 3 4 S6 7 10 Forecast Demand 20 15 25 10 30 35 15 20 40 40 6 8 9 Beginning Lead Time On-Hand Scheduled Receipt Minimum Order item (Weeks) Inventory (Weck. Quantity) Quantity Model F 1 40 (1,25), (2, 10) 25 Sub A 1 0 (1, 50) 50 Sub B 2 25 (2,45) 45 Compc 2 45 (2,35) 35 Comp D 1 90 (1, 15) 90 Comp E 2 135 (2, 10) 135 *Remark: Minimum order quantity means the order size of that item at each period must be equal or larger than the minimum order quantity. If Apple wants to combine some orders of the final product (Model F) assembly, given the order setup cost is $1000/order and inventory holding cost is $15/unit/week. Apply the least- total-cost method to determine the lot size of cach order for the final product. You don't need to rework your MRP records for all sub-assemblies and components. Just show the steps on how you determine each order size for the final product F. (1 mark)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!