The Table Shows a Master Schedule for End Item Z

question 91

Essay

The table shows a master schedule for end item Z that is produced according to the product structure tree shown below. Beginning inventories and lead times for components of Z are given in the table. The lot sizes for A, B, and C are 100 units and an L4L rule for E. Complete a materials requirement plan for components A, B, and C.
$$\begin{array} { | l | c | c | c | c | c | c | } \hline \text { Period } & 1 & 2 & 3 & 4 & 5 & 6 \\\hline \text { MPS Qty } & 0 & 0 & 0 & 250 & 275 & 275 \\\hline\end{array}$$ $$\begin{array} { | l | c | c | c | c | c | } \hline \text { Component } & \text { A } & \text { B } & \text { C } & \text { D } & \text { E } \\\hline \text { Lead Time } & 1 & 2 & 2 & 2 & 1 \\\hline \text { Beginning Inv } & 50 & 75 & 100 & 15 & 40 \\\hline\end{array}$$

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Definitions:

Measure Of Activity

A quantifiable metric used to assess the level of operation or output, often tied to performance or productivity evaluation.

Variable Cost

Charges that fluctuate based on the quantity of output or level of sales.

Fixed Cost

Costs that remain unchanged regardless of the level of production or sales activity, such as rent, salaries, and insurance premiums.

Relevant Range

The span of activity or volume over which the assumptions about fixed and variable cost behaviors hold true for a specific business.