In an MRP Problem, a Is an MPS Item

question 49

Multiple Choice

In an MRP problem, A is an MPS item. Every A requires 2 B's and 3 C's. Every B requires 5 C's. All lead times are two periods. All initial inventory values are 0. Use lot-4-lot method for order quantities for all items. If gross requirement for A is 500 in period 8, what will be the planned order release for B in period 4?

• A) 0
• B) 1,000
• C) 500
• D) 1,500
• E) 6500

---

Definitions:

Sales

Transactions where goods or services are exchanged for money, usually considered a measure of a business's success or economic activity in a market.

Excise Taxes

Taxes imposed on specific goods, such as tobacco and alcohol, often intended to reduce consumption or generate revenue.

Marginal Tax Rate

The tax rate paid on an additional dollar of income.

Taxable Personal Income

The portion of an individual's earnings that is subject to taxation, after accounting for deductions and exemptions.