Question: We produce two type end products: A and B. Also the sub-item C is sold as an end product. So, item C has both dependent

We produce two type end products: A and B. Also
We produce two type end products: A and B. Also
We produce two type end products: A and B. Also the sub-item C is sold as an end product. So, item C has both dependent and independent demands. (Consider as an example end product car and sub item tire. Tire is also sold as end product.) For the future 12 weeks our MPS amounts for A, B and C are given below. 1 2 3 4 5 7 12 week A B 8 9 10 11 60 50 50 50 40 110 50 60 40 60 70 60100 110 Product trees are given below. (LT: lead time) A B LT=2 C(1) LT=1 D (3) LT=2 F(2) LT-2 C(2) LT=1 D (1) LT-2 E (2) LT-2 D (1) LT=2 E (2) LT22 D (1) LT=2 Unit inventory holding cost is 4 $/week for all parts. Fixed ordering cost is 2000$ for all parts. Currently we have 200 units D in our depot. MRP tables for parts A, B and C are given below. a) Use Part Period Balance Method and fill in an MRP table for part D. b) Use Least average Cost Method and fill in an MRP table for part E. Initial Week Order Lead Safety Time Inventory Stock Allocated to Size 9 TO 11 D SO SO 50 Gross Rea Scheduled Ree Projected on hand 0 0 0 0 O 0 0 0 0 0 LFL Net Red 60 50 50 30 SO SO SO Plan Order Rec. Plan. Order. Rel 60 30 SO 50 Week Initial Order Lead Safety Size Time Inventory Stock Allocated Item X 10 11 12 110 SO 40 0 0 0 0 0 0 110 170 0 100 40 150 2 2 B Gross Reg Scheduled Rec. Projected on hand Net Reg Plan Order Rec Plan Order Rel 40 50 150 150 150 190 Weck Order Lead Safety Size Time Inventory Suck Allocated Item 6 TO 12 3000 60 150 410 1150 100 600 600 600 600 600 300 20 110 100 ISO 190 200 600 Cross Req Scheduled Rec Projected on and Net Red Plan Order Rec Plan Order, Rel. 3000 50 TO 200 200

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