Complete the Following MRP Record in Order to Answer the Question

question 161

Multiple Choice

Complete the following MRP record in order to answer the question. $$\begin{array} { | l | l | l | l | l | l | l | l | l | l | } \hline \begin{array} { l } \text { Item: XYZ } \\\text { Descriotion }\end{array} & \text { Date } & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 \\\hline \begin{array} { l } \text { Gross } \\\text { requirements }\end{array} & 20 & 30 & 30 & 50 & 70 & 40 & & \\\hline \begin{array} { l } \text { Scheduled } \\\text { receipts }\end{array} & & & 100 \text { Size: L4L } \\\hline \begin{array} { l } \text { Projected } \\\text { on hand }\end{array} & 40 & 20 & - 10 & 40 & 0 & 0 & 0 & & \\\hline \begin{array} { l } \text { Planned } \\\text { receipts }\end{array} & & & & & & & & \\\hline \begin{array} { l } \text { Planned order } \\\text { releases }\end{array} & & & & & & & & \\\hline\end{array}$$ How many action notices will there be for item XYZ?

• A) 0
• B) 1
• C) 2
• D) 3 or more

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Definitions:

Unit Costs

The cost incurred by a company to produce, store, and sell one unit of a particular product or service.

Production

The process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (the output).

Average Total Cost

The total cost of production divided by the quantity produced, representing the per unit cost of goods or services.

Output

The amount of products or services generated by a company, sector, or economic system within a specific timeframe.