Use the following information about a product B & L Hardware makes to complete t
ID: 459999 • Letter: U
Question
Use the following information about a product B & L Hardware makes to complete the MPS shown below. (Assume 52 weeks per year.) Indent BOM End Item A (3) (2) End Item A has a planned lead time of two weeks. There are currently 120 units on hand and no scheduled receipts. The holding cost is $1 and set-up cost is $100. Compute the planned order releases using EOQ lot sizing and the MPS shown here for End Item A: has a planned lead time of one week. There are currently 250 on hand and no scheduled receipts. Using lot for lot production complete the MPS for .Explanation / Answer
For Item A LT = 2 weeks Weeks 1 2 3 4 5 6 7 8 9 10 Demand 41 44 84 42 84 86 7 18 49 30 Scheduled Reciepts Inventory (120) 79 35 0 262 220 136 50 43 25 0 Net Req. 49 24 Planned order Receipts 311 311 Planned order release 311 311 Eoq = 2DS/H 2x 485x100/1 311 For Item B LT = 1 week Weeks 1 2 3 4 5 6 7 8 9 10 Demand 933 933 Scheduled Reciepts Inventory (250) 0 0 0 0 0 0 0 0 0 0 Net Req. 683 933 Planned order Receipts 683 933 Planned order release 683 933