An Order Has Been Placed for 50 Units of Product

question 130

Essay

An order has been placed for 50 units of Product A and 60 units of Product B. There are currently 35 units of Product B on hand. Each A requires 2 units of Part C; each B requires 5 units of C. There are 160 units of C available.
(a) Calculate the net requirements for B.
(b) Calculate the gross requirements for C.
(c) Calculate the net requirements for C.

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Definitions:

Assignment

The transfer of rights, property, or obligations from one party to another, usually within the context of a contract.

Third-party Beneficiary

This is an individual or group that benefits from a contract although they are not one of the primary parties involved in the agreement.

Incidental Beneficiary

An individual or entity that might receive a benefit from a contract between two other parties, despite not being an intended party of the contract.

Intended Beneficiary

A person for whom a contract is specifically made and who has the right to enforce the contract terms against the parties involved.