FIGURE 8-6 ICU2 computer (end item) Product structure diagram for ICU2 computer (for Problem 4) Motherboard (1) Lead time = 3 weeks Disk drives (2) Lead time =' l week Add-in boards (3) Lead time = 1 week DRAM chips (90) Lead time = 2 weeks

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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The Noname Computer Company builds a computer designated model ICU2. It imports the motherboard of the computer from Taiwan, but the company inserts the sockets for the chips and boards in its plant in Lubbock, Texas. Each computer requires a total of ninety 64K dynamic random access memory (DRAM) chips. Noname sells the computers with three add-in boards and two disk drives. The company purchases both the DRAM chips and the disk drives from an outside supplier. The product structure diagram for the ICU2 computer is given in the image.
Suppose that the forecasted demands for the computer for weeks 6 to 11 are 220, 165, 180, 120, 75, 300. The starting inventory of assembled computers in week 6 will be 75, and the production manager anticipates returns of 30 in week 8 and 10 in week 10.
a. Determine the MPS for the computers.
b. Determine the planned order release for the motherboards assuming a lot-forlot scheduling rule.
c. Determine the schedule of outside orders for the disk drives.

FIGURE 8-6
ICU2 computer
(end item)
Product structure
diagram for ICU2
computer (for
Problem 4)
Motherboard (1)
Lead time = 3 weeks
Disk drives (2)
Lead time =' l week
Add-in boards (3)
Lead time = 1 week
DRAM chips (90)
Lead time = 2 weeks
Transcribed Image Text:FIGURE 8-6 ICU2 computer (end item) Product structure diagram for ICU2 computer (for Problem 4) Motherboard (1) Lead time = 3 weeks Disk drives (2) Lead time =' l week Add-in boards (3) Lead time = 1 week DRAM chips (90) Lead time = 2 weeks
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