explain what the correct answer is---Question 2
0 / 1 pts
Table 1: Master Production Schedule (Gross Requirements)
Week | 4 | 6 | 7
--- | --- | --- | ---
Gross req. | 60 | 20 | 150
Table 2: Bill of Materials
Item# | What is needed# | Quantity needed
--- | --- | ---
A | B | 1
A | C | 2
B | C | 1
Table 3: Inventory Records
Item# | On hand (beginning) inventory# | Lot sizing# | Lead time
--- | --- | --- | ---
A | 50 | L4L | 1
B | 55 | 30 | 1
C | 125 | L4L | 1
The three tables above shows the master production schedule and the bill of materials of part A, and the inventory records of all the parts. There are no scheduled receipts. Given this information, what is the net requirement of part C in Week 6?(Only enter a number. Do not enter any units. (c)orsdemir. Copyrighted content. Cannot be posted.)
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In this Material Requirements Planning problem, we need to find the net requirement of part C in Week 6. Let's analyze the given information. Table 1 shows the Master Production Schedule with gross requirements for part A. Table 2 shows the Bill of Materials, indicating that each part A needs 1 part B and 2 parts C, while each part B needs 1 part C. Table 3 shows the inventory records with on-hand inventory, lot sizing rules, and lead times for all parts. To solve this problem, we'll need to work through the MRP calculations step by step.
Let's start by calculating the MRP for Part A. In Week 4, the gross requirement is 60 units, and we have 50 units on hand. This gives us a net requirement of 10 units. Since the lead time is 1 week, we need to place an order in Week 3. For Week 6, the gross requirement is 20 units with zero on-hand inventory, resulting in a net requirement of 20 units and a planned order release in Week 5. Similarly, for Week 7, we have a gross requirement of 150 units, giving us a net requirement of 150 units and a planned order release in Week 6. These planned order releases for Part A will become gross requirements for its components according to the bill of materials.
Now, let's calculate the MRP for Parts B and C. First, we determine the gross requirements based on the planned order releases of Part A. For Part B, we need 1 unit per unit of A, so the gross requirements are 10 units in Week 3, 20 units in Week 5, and 150 units in Week 6. For Part C, we need 2 units per unit of A, giving us gross requirements of 20 units in Week 3, 40 units in Week 5, and 300 units in Week 6. Looking at Part B's MRP, we start with 55 units on hand. After satisfying the requirements in Weeks 3 and 5, we have 25 units left for Week 6, resulting in a net requirement of 125 units. With a lot size of 30, we need to order 150 units (5 lots) in Week 5. This planned order release for Part B will generate an additional gross requirement of 150 units for Part C in Week 5.
Now, let's calculate the MRP for Part C by combining all gross requirements. From Part A, we have 20 units in Week 3, 40 units in Week 5, and 300 units in Week 6. From Part B, we have an additional 150 units in Week 5. This gives us total gross requirements of 20 units in Week 3, 190 units in Week 5, and 300 units in Week 6. Starting with 125 units on hand, we can satisfy the Week 3 requirement of 20 units, leaving 105 units. In Week 5, we need 190 units but only have 105 on hand, resulting in a net requirement of 85 units. For Week 6, we have no on-hand inventory left, so the net requirement equals the gross requirement of 300 units. Therefore, the net requirement of Part C in Week 6 is 300 units, which is our answer to the question.
To summarize our MRP calculation process: We started with the master production schedule for Part A and worked our way down through the bill of materials. We calculated planned order releases for Part A, which became gross requirements for Parts B and C. We then calculated planned order releases for Part B, which generated additional gross requirements for Part C. By combining all gross requirements for Part C and accounting for on-hand inventory, we determined that the net requirement of Part C in Week 6 is 300 units. This is our final answer. Remember that MRP calculations always flow from end items down to components, and on-hand inventory is always depleted before calculating net requirements.