I just want to know how they got the on hand inventory for weeks 18-24. please s

Question

I just want to know how they got the on hand inventory for weeks 18-24. please show formulas and all work! How did they get these answers? THANKS

[15 points] Consider the structure of product EP1 in the figure below. The number in parenthesis represents the number of units of the corresponding item required to produce one unit of the parent item. Other relevant information is in the table to the right. EP1 Component Initial Inventory Lot Size 1 week 0 12 24 50 100 150 10 12 12 50 50 50 EP1 B (2) 2 weeks 1 weeK F (3) 2 weeks G (2) 1 week 2 weeks Suppose that the master production schedule for this product is the following: 23 90 24 210 21 Week -> Units of EP1 18 120 19 112 20 76 56 Assuming there is no requirement for safety stock, determine the planned order releases for components F, G, and H. Use the tables in the following page to develop your plan.

Explanation / Answer

The On hand inventory utilizes the following formula:

Since EP1 and Part A has a one to one connection (i.e. 1 unit of EP1 uses 1 unit of A), Planned order release for EP1 acts as Gross requirement for A.

Planned Delivery is the same number as Planned Order release (with a lead time of 1 week.)

Net Requirement= Gross Requirement - Inventory from previous period.

Inventory= Previous period inventory+Planned Delivery-Gross requirement

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