Please answer this question fully and correctly thank you. I will give a good re
ID: 2536055 • Letter: P
Question
Please answer this question fully and correctly thank you. I will give a good review
Problem 12-6 A table is assembled using three components, as shown in the accompanying product structure tree. The company that makes the table wants to ship 100 units at the beginning of day 4,150 units at the beginning of day 5,200 units at the beginning of day 7, and there is no inventory of tables is available at beginning. Receipts of 100 wood sections are scheduled at the beginning of day 2. There are 120 legs on hand. An additional 10 percent of the order size on legs is added for safety stock. There are 60 braces on hand with no safety stock requirement for braces. Lead times (in days) for all items are shown in the following table. Prepare a material requirements plan using lot-for-lot ordering. (Note: Since the lead time varles based on order quantity It Is posslble to place two separte orders on the same day. Incorporate the safety stock for the legs by using the following formula: Planned rder-receipts Net Requirements n-hand inventory (1 Safety Stock %). Round up any fractl nal values. Then carry the safety stock forward in subsequent calculatlons. Leave no cells blenk- be certaln to enter "O" wherever requlred.) 1- 280 1 558 551 999 Table Wood sections (2) Braces (3) Legs (4) Master Schedule Quantity Gross requirements Projected on hand Net requirements Planned-order receipts Planned-order releases wood Sections Beg. Inv Gross requirements Projected on hand Net requirements Planned-order receipts Planned-order releases Braces Beg. Inv Gross requirements Scheduled receipts Projected on hand Net requirements Planned-order receipts Planned-order releasesExplanation / Answer
Given:
The company that makes a table wants to ship 100 units at the beginning of day 4, 150 units at the beginning of day 5, and 200 units at the beginning of day 7. Receipts of 100 wood sections are scheduled at the beginning of day 2. On hand balances: Braces = 60 and Legs = 120. Lead times (in days) for all items are shown in the table below. The product structure tree is shown below also:
Quantity
Lead Time
1-200
1
201-550
2
551-999
3
Prepare a material requirements plan using lot-for-lot ordering for all items:
Master
Schedule for: Table
Day
1
2
3
4
5
6
7
Quantity
100
150
200
Table
Lot size: Lot-for-Lot
Beg. Inv.
1
2
3
4
5
6
7
Gross requirements
100
150
200
Scheduled receipts
Projected on hand
0
0
0
0
0
0
0
0
Net requirements
100
150
200
Planned-order receipts
100
150
200
Planned-order releases
100
150
200
POH5 = [POH4 + Planned-Order Receipts4 – Gross Requirements4] + Scheduled Receipts5
POH5= [0 + 100 – 100] + 0 = 0.
POH6 = [POH5 + Planned-Order Receipts5 – Gross Requirements5] + Scheduled Receipts6
POH6= [0 + 150 – 150] + 0 = 0.
Planned-Order Releases (days 3, 4, &6) were back-scheduled 1 day from their Planned-Order Receipts because all lead times = 1 day for quantities of 1-200.
Wood Sections(2)
Lot size: Lot-for-Lot
Beg. Inv.
1
2
3
4
5
6
7
Gross requirements
200
300
400
Scheduled receipts
100
Projected on hand
0
0
100
100
0
0
0
0
Net requirements
100
300
400
Planned-order receipts
100
300
400
Planned-order releases
400
400
Gross Requirements (day 3) = Planned-Order Releases of 100 Tables * 2 = 200.
Gross Requirements (day 4) = Planned-Order Releases of 150 Tables * 2 = 300.
Gross Requirements (day 6) = Planned-Order Releases of 200 Tables * 2 = 400.
POH3 = [POH2 + Planned-Order Receipts2 – Gross Requirements2] + Scheduled Receipts3
POH3= [100 + 0 – 0] + 0 = 100.
POH4 = [POH3 + Planned-Order Receipts3 – Gross Requirements3] + Scheduled Receipts4
POH4= [100 + 100 – 200] + 0 = 0.
Planned-Order Releases (day 2) = 100 from Planned-Order Receipts of 100 in day 3 (lead time = 1 day for quantities of 1-200) +300 from Planned-Order Receipts of 300 in day 4 (lead time = 2 days for quantities of 201-550) = 400.
Planned-Order Releases (day 4) = 400 from Planned-Order Receipts of 400 in day 6 (lead time = 2 days for quantities of 201-550).
Braces(3)
Lot size: Lot-for-Lot
Beg. Inv.
1
2
3
4
5
6
7
Gross requirements
300
450
600
Scheduled receipts
Projected on hand
60
60
60
60
0
0
0
0
Net requirements
240
450
600
Planned-order receipts
240
450
600
Planned-order releases
240
450
600
Notes:
Gross Requirements (day 3) = Planned-Order Releases of 100 Tables * 3 = 300.
Gross Requirements (day 4) = Planned-Order Releases of 150 Tables * 3 = 450.
Gross Requirements (day 6) = Planned-Order Releases of 200 Tables * 3 = 600.
POH4 = [POH3 + Planned-Order Receipts3 – Gross Requirements3] + Scheduled Receipts4
POH4= [60 + 240 – 300] + 0 = 0.
POH5 = [POH4 + Planned-Order Receipts4 – Gross Requirements4] + Scheduled Receipts5
POH5= [0 + 450 – 450] + 0 = 0.
Planned-Order Releases (day 1) = 240 from Planned-Order Receipts of 240 in day 3 (lead time = 2 days for quantities of 201-550).
Planned-Order Releases (day 2) = 450 from Planned-Order Receipts of 450 in day 4 (lead time = 2 days for quantities of 201-550).
Planned-Order Releases (day 3) = 600 from Planned-Order Receipts of 600 in day 6 (lead time = 3 days for quantities of 551-999).
Legs(4)
Lot size: Lot-for-Lot
Beg. Inv.
1
2
3
4
5
6
7
Gross requirements
400
600
800
Scheduled receipts
Projected on hand
120
120
120
120
0
0
0
0
Net requirements
280
600
800
Planned-order receipts
280
600
800
Planned-order releases
880
800
Gross Requirements (day 3) = Planned-Order Releases of 100 Tables * 4 = 400.
Gross Requirements (day 4) = Planned-Order Releases of 150 Tables * 4 = 600.
Gross Requirements (day 6) = Planned-Order Releases of 200 Tables * 4 = 800.
POH3 = [POH2 + Planned-Order Receipts2 – Gross Requirements2] + Scheduled Receipts3
POH3= [120 + 0 – 0] + 0 = 120.
POH4 = [POH3 + Planned-Order Receipts3 – Gross Requirements3] + Scheduled Receipts4
POH4= [120 + 280 – 400] + 0 = 0.
POH5 = [POH4 + Planned-Order Receipts4 – Gross Requirements4] + Scheduled Receipts5
POH5= [0 + 600 – 600] + 0 = 0.
Planned-Order Releases (day 1) = 280 from Planned-Order Receipts of 280 in day 3 (lead time = 2 days for quantities of 201-550) + 600 from Planned-Order Receipts of 600 in day 4 (lead time = 3 days for quantities of 551-999) = 880.
Planned-Order Releases (day 3) = 800 from Planned-Order Receipts of 800 in day 6 (lead time = 3 days for quantities of 551-999).
Quantity
Lead Time
1-200
1
201-550
2
551-999
3