Questions: Develop a material requirement plan for item D, D and E What is the largest quantity of projected on hand inventory for any one of the weeks for item D? How many planned order releases are there for item C? What is the planned receipt in week 3 for item E?
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Questions:
- Develop a material requirement plan for item D, D and E
- What is the largest quantity of projected on hand inventory for any one of the weeks for item D?
- How many planned order releases are there for item C?
- What is the planned receipt in week 3 for item E?
![9. Use the following MPS, BOM, and inventory record to answer the MRP questions.
a) Master Production Schedule: The following table shows the MPS start dates already
offset for item A's lead time.
Week
Week
2
4
6.
MPS
60
70
40
b) Bill of materials:
End item A uses 1 each of component D and 2 each of subassembly C.
Subassembly C uses 2 each of component E
c) Inventory records:
D
E
Lot sizing rule
Lead time (weeks)
Beginning on-hand
FOQ = 50
РOQ (Р-2)
L4L
1
1
30
30
inventory
Safety stock
Scheduled receipts
20
50 (week 1)
30 (week 1)
90 (week 1)
Questions:
(a) Develop a material requirement plan for item D, D and E
(b) What is the largest quantity of projected on hand inventory for any
one of theweeks for item D?
(c) How many planned order releases are there for item C?
(d) What is the planned receipt in week 3 for item E?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe6efea63-c6d5-4356-9271-113fa2098e7a%2F2d3507eb-ef1c-435d-b444-47a2c882df4e%2Fe6v6ng_processed.jpeg&w=3840&q=75)
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