a. In what periods are there planned order releases? b. What happens to the timing, number of planned order releases, and average inventory (for periods 1 through 6) if 15 units of safety stock are required? c. What happens to the timing, number of planned order releases, and average inventory (for periods 1 through 6) if a one-week safety lead time is used instead of the safety stock?
a. In what periods are there planned order releases? b. What happens to the timing, number of planned order releases, and average inventory (for periods 1 through 6) if 15 units of safety stock are required? c. What happens to the timing, number of planned order releases, and average inventory (for periods 1 through 6) if a one-week safety lead time is used instead of the safety stock?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![5. Develop an MRP spreadsheet record for six periods using the following parameters for the item:
Period
1
2
3
4
5
Gross requirements
20
20
40
30
30
30
Lead time
1 period
Lot size
50 units
Safety stock
Inventory
Scheduled receipt
O units
2 units
50 units in period 1
a. In what periods are there planned order releases?
b. What happens to the timing, number of planned order releases, and average inventory (for
periods 1 through 6) if 15 units of safety stock are required?
c. What happens to the timing, number of planned order releases, and average inventory (for
periods 1 through 6) if a one-week safety lead time is used instead of the safety stock?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc0d93ea1-4247-45ef-b3fa-07b7c1a6a22c%2F8eb8cdd9-09b4-469d-8c63-c001bbbe5b53%2Farary9_processed.jpeg&w=3840&q=75)
Transcribed Image Text:5. Develop an MRP spreadsheet record for six periods using the following parameters for the item:
Period
1
2
3
4
5
Gross requirements
20
20
40
30
30
30
Lead time
1 period
Lot size
50 units
Safety stock
Inventory
Scheduled receipt
O units
2 units
50 units in period 1
a. In what periods are there planned order releases?
b. What happens to the timing, number of planned order releases, and average inventory (for
periods 1 through 6) if 15 units of safety stock are required?
c. What happens to the timing, number of planned order releases, and average inventory (for
periods 1 through 6) if a one-week safety lead time is used instead of the safety stock?
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