Determine the planned order releases for components F, G, and H, Assuming lot-for-lot production. Concept Introduction: when the net requirements appearing for every period to the order of the quantity, the lot-for-lot method will be occur.it is one of the lot sizing method and also it is known as DOQ(Discrete order Quantity).

Question

Want to see the full answer?

Answer 1

Question

Chapter 8, Problem 48AP

Summary Introduction

Interpretation: Determine the planned order releases for components F, G, and H, Assuming lot-for-lot production.

Concept Introduction: when the net requirements appearing for every period to the order of the quantity, the lot-for-lot method will be occur.it is one of the lot sizing method and also it is known as DOQ(Discrete order Quantity).

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Part (A) To control the inventory, organizations have three alternate approaches: Economic Order Quantity (EOQ). Materials Requirements Planning (MRP) and Just-in-Time (JIT). Discuss those three approaches identify the goal of each one? And how the organization can achieve such a goal? Part (B) Some threats could be happened in the production cycle, one of them is over or under production threat. Discuss two problems and two controls related to this threat. for the toolbar, press ALT F10 (PC) or ALT+FN+F10 (Mac).

1. Speedy, Inc. is a company that produces automotive electrical components. A151 is a common part for all its products. Consider the following gross requirements and inventory data for A151 part: Week [Gross requirements 1 3 4 5 6 7 30 40 30 70 20 Inventory Data: Lead time Beginning inventory Scheduled receipts Holding cost [Setup cost 1 week 40 $2.50/unit/week $150 (i) Based on the L4L lot-sizing rule, develop a Material Requirements Plan (MRP) for the next 8 weeks for A151 part. Item: A151 Week Lot size: L4L 3 4 6 8 Lead time: 1 Gross Requirements Scheduled Receipts On Hand Inventory Net Requirements Planned Order Receipts Planned Order Releases

Exercise 2: The demand per year (D) for product X is 12,100 units. The costs of placing an order (S) are $4.50. The unit cost (C) of the item is $25.00. The maintenance cost (H) per unit per year is 30% of the item's cost. 1. Use the economic order quantity (EOQ) model to determine: *Optimal quantity to order* The expected number of orders*Optimal time between orders*The total annual cost of maintaining that optimal amountNOTE: Show calculations of how you arrived at each amount 2. Answer, what are the potential benefits of using EOQ analysis for inventory management? How can you help businesses strike a balance between inventory holding costs and ordering costs?