Question content area

Part $1$

Using gross requirements schedule$$ below$*,$ prepare an alternative ordering system that always orders $100$ units the week prior to a shortage$($a fixed order quantity of$100)$ as a Lot Sizing technique. What is the cost of this ordering$$ system?

$$

Period

$1$

$2$

$3$

$4$

$5$

$6$

$7$

$8$

$9$

$10$

Gross requirements

$2525$

$2020$

$4040$

$0$

$1010$

$4040$

$3030$

$0$

$3030$

$6565$

$*$Holding

costequals$=$$$1/$unit$/$week;

setup

costequals$=$$$200200$;

lead

timeequals$=1$

$$week; beginning

inventoryequals$=2525$

units.

Prepare a net requirements plan $($enter your responses as whole$$ numbers$).$

Period

$1$

$2$

$3$

$4$

$5$

$6$

$7$

$8$

$9$

$10$

Gross requirements

$2525$

$2020$

$4040$

$0$

$1010$

$4040$

$3030$

$0$

$3030$

$6565$

$$On$-$hand at beginning of period

$2525$

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$$On$-$hand at end of period

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Net requirements

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Order receipt

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Order release

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The holding cost of this ordering system is

$$$enter your response here

$($enter your response as a whole$$ number$).$

The setup cost of this ordering system is

$$$enter your response here

$($enter your response as a whole$$ number$).$

The cost of this ordering system is

$$$enter your response here

$($enter your response as a whole$$ number$).$