THIS ANSWER DOES NOT WORK FOR THIS PROBLEM

The MRP gross requirements for Item A are shown here for the next 10 weeks. Lead time for A is three weeks and setup cost is $10. There is a carrying cost of $0.010 per unit per week. Beginning inventory is 85 units. WEEK 1 3 4 2. 55 Gross requirements 5 70 6 87 7 19 8 63 9 210 10 58 20 10 22 Use the least total cost and the least unit cost lot-sizing method to determine what quantity the first order should be released and for which period. Quantity Ordered Period Least total cost Least unit cost For week 4 Carrying cost = 0.01*(87+32+22+0) = $2.26 Ordering cost = $10 Total Cost = $12.26 Unit cost = 107/12.26 =0.1146 Least total cost method From table it is clear that in column of TC minimum cost is $20.33 (highlighted in yellow) for period from 1-6 weeks and order qty, Q = 264 units. Least unit cost method From table it is clear that in column of unit cost, minimum cost is $0.0770 (highlighted in green) for period from 1-6 weeks and order qty, Q = 264 units