Question

1. Consider the following product structure: Each A consists of 2 B's and 1 C. Each B consists of 3 D's and 2 E's. Each C consists of 4 D's and 2 E's. How many D's are necessary to produce 400 A's? a) 1600 b) 2400 c) 4000 d) 2000 e) 400 The XYZ Company has just hired you as Production Manager of their North American Fabrication Facility. Your first job is to use the MRP methodology to schedule production for the next nine weeks. The XYZ Company has given you the following information to work with Bill of Materials (Product Structure Diagram) urrent Inventory Records Leadtime (in weeks) Lotsize Inventory Currently On-hand Part Lot-for-Lot 125 100 Lot-for-Lot 55 50 875 900 ductio Weeks Part 100 0 500 0 500 100 0 95

Answer 1

1.(a)

[d] 2000

A = 200 => B = 400 and C = 200

So, D = 3 x 400 + 4 x 200 = 2000

For 2, 3, and 4

		Weeks
A		1	2	3	4	5	6	7	8	9
Gross requirement		100	0	0	500	0	500	100	0	95
Scheduled receipt		0	0	0	0	0	0	0	0	0
Projected on-hand	125	25	25	25	0	0	0	0	0	0
Net requirement		0	0	0	475	0	500	100	0	95
Planned receipt		0	0	0	475	0	500	100	0	95
Planned release		0	0	475	0	500	100	0	95	0
		Weeks
B		1	2	3	4	5	6	7	8	9
Gross requirement		0	0	475	0	500	100	0	95	0
Scheduled receipt		0	0	0	0	0	0	0	0	0
Projected on-hand	875	875	875	400	400	0	0	0	5	5
Net requirement		0	0	0	0	100	100	0	95	0
Planned receipt		0	0	0	0	100	100	0	100	0
Planned release		0	100	100	0	100	0	0	0	0
		Weeks
C		1	2	3	4	5	6	7	8	9
Gross requirement		0	0	475	0	500	100	0	95	0
Scheduled receipt		0	0	0	0	0	0	0	0	0
Projected on-hand	55	55	55	0	0	0	0	0	0	0
Net requirement		0	0	420	0	500	100	0	95	0
Planned receipt		0	0	420	0	500	100	0	95	0
Planned release		420	0	500	100	0	95	0	0	0
		Weeks
D		1	2	3	4	5	6	7	8	9
Gross requirement		420	0	500	100	0	95	0	0	0
Scheduled receipt		0	0	0	0	0	0	0	0	0
Projected on-hand	900	480	480	30	30	30	35	35	35	35
Net requirement		0	0	20	70	0	65	0	0	0
Planned receipt		0	0	50	100	0	100	0	0	0
Planned release		50	100	0	100	0	0	0	0	0

2.

[a] 0

3.

[b] 5

4.

[e] I, II, and III

5.

[a] 6 days

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6.

[b] II only

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