There Are 50 Units in Inventory at the Start of Week

question 86

Multiple Choice

There are 50 units in inventory at the start of week 1 for this company, which runs a lot-for-lot MRP system. There is a one week lead time for all shipping and production quantities regardless of volume. What are the quantities of the planned orders for this item for the first six weeks? $$\begin{array} { | l | c | c | c | c | c | c | c | c | } \hline & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 \\\hline \text { Gross Requirements } & 50 & 20 & 30 & & 40 & & & \\\hline \text { Scheduled receipts } & & & & & & & & \\\hline \text { Projected ending } & & & & & & & & \\\hline \text { Inventory } & & & & & & & & \\\hline \text { Net Requirements } & & & & & & & & \\\hline \text { Planned Receipts } & & & & & & & & \\\hline \text { Planned Orders } & & & & & & & & \\\hline\end{array}$$

• A)20, 30, 0, 40, 0, 0
• B)35, 0, 60, 0, 0, 0
• C)5, 30, 0, 40, 20, 0
• D)35, 0, 0, 40, 20, 0

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Definitions:

Psychographics

The study of consumers' lifestyles, interests, attitudes, and values to understand their behavior and preferences.

Demographics

Statistical characteristics of the segment of the market that might purchase a product.

Geographic

Pertaining to the physical features, location, or characteristics of the earth or its environments.

End-use

The final application or consumption for which a product, material, or service is intended after its manufacture or production.