If the demand for product A is 50 units, how many units of component D will be needed? A. 200 O B. 300 O C. 50 O D. 100 O E. 150
If the demand for product A is 50 units, how many units of component D will be needed? A. 200 O B. 300 O C. 50 O D. 100 O E. 150
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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Question
Consider the following product structure.
If the demand for product A is 50 units, how many units of component D will be needed?
Part 2
200
300
50
100
150

Transcribed Image Text:### Product Structure Analysis
#### Diagram Explanation
The diagram provided represents a product structure for item A and its sub-components. It is a hierarchical breakdown indicating how the final product, A, is assembled from various subcomponents B, C, D, E, and F.
Here is a detailed breakdown of the diagram:
1. **A**: The final product (top-level component).
2. **B (1)**: One unit of component B is required for product A.
- **D (2)**: Two units of component D are required for product B.
- **E (1)**: One unit of component E is required for product B.
- **F (2)**: Two units of component F are required for product B.
3. **C (1)**: One unit of component C is required for product A.
- **D (1)**: One unit of component D is required for component C.
- **F (1)**: One unit of component F is required for component C.
#### Question Analysis
**Question**: If the demand for product A is 50 units, how many units of component D will be needed?
**Answer Choices**:
- A. 200
- B. 300
- C. 50
- D. 100
- E. 150
To determine the total number of units of component D needed, we analyze its hierarchy:
- From **component B**:
- Each unit of B needs 2 units of D.
- Hence, for 1 unit of A, \(B\) needs \(2 \text{ units of } D\).
- For 50 units of A, \(B\) needs \(50 \times 2 = 100 \text { units of } D\).
- From **component C**:
- Each unit of C needs 1 unit of D.
- Hence, for one unit of A, \(C\) needs \(1 \text{ unit of } D\).
- For 50 units of A, \(C\) needs \(50 \times 1 = 50 \text { units of } D\).
Adding both demands together:
- Total units of D needed = \(100 \,\text{units}\) (from B) + \(50\, \text{units}\) (from C) = \(150 \, \text{units}\)
Thus,
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