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Problem 12-3 The following table lists the components needed to a ssemble an end

ID: 342934 • Letter: P

Question

Problem 12-3 The following table lists the components needed to a ssemble an end item, lead times (in weeks), and quantities on hand. on Hand. Direct Components End (2), C(1), K(3) B (2), J(3) G (2), B(2) H (4), B(2) 16 21 29 30 o. If 43 units of the end item are to be assembled, how many additional units of B are needed? (Hint You don't need to develop an MRP plan) Additional units b. An order for the end item is scheduled to be shipped at the start of week 11. What is the latest week that the order can be started and still be ready to ship on time? (Hint You don't need to develop an MRP plan.) The latest week

Explanation / Answer

a)

To produce the end item we need:

2 units of L; L needs 2 units of B. Hence, end item needs 2*2=4 units B

1 unit C, C needs 2 units B, Hence, end item needs 2 units of B

3 units K, K needs 2 units of B. Hence, end item needs 2*3 = 6 units of B

Total B required = 4+2+6 = 12 units of B for 1 units of end item

for 43 units of End item, B required = 43*12 = 516 units

B in stock = 29

Additional B required = 516-29 = 487 units

b)

Maximum time taken by independent components B,J,G,H is 3 weeks for J and G

Maximum time for direct components of end item is = 3 weeks for C and K

End item takes = 2 weeks

total time = 3 +3 +2 = 8 weeks

Order is due in start of week 11. hence the maximum delay that the order can be started = 10-8 = 2 weeks

The latest week = week 3.

the order needs to start processing from start of week 3 to complete by start of week 11.