Question

In: Operations Management

On hand inventory at end of week 5 = 75 Week 6 7 8 9 10...

On hand inventory at end of week 5 = 75
Week	6	7	8	9	10	11	12	13
Forecasted demand	200	200	200	300	300	300	250	250
Booked orders	265	210	190	280	260	225	180	120
Projected ending inventory
Master production schedule	600			900			750
Available to promise				???			XXX

Q4: What is the Available to Promise for week 9?

a. 135 units.

b. 145 units.

c. 0 units.

d. 360 units.

e. None of these answers are correct.

On hand inventory at end of week 5 = 75
Week	6	7	8	9	10	11	12	13
Forecasted demand	200	200	200	300	300	300	250	250
Booked orders	265	210	190	280	260	225	180	120
Projected ending inventory					???
Master production schedule	600			900			750
Available to promise							XXX

Q5: What is the Projected Ending Inventory for week 10?

a. 300 units.

b. None of these answers is correct.

c. 310 units.

d. 360 units.

e. 370 units.

Expert Solution

Q4. Option a) 135 units

Explanation

Available to Promise for week 9 is MPS of the week 9-Actual orders till next production cycle(which is on 12 th week )

MPS of week 9 is 900

So Available to Promise for week 9 is 900-(280+260+225)=900-765=135 units

Q5.Option a) 300 units

Explanation

Projected Inventory=MPS+Opening Inventory-Requirement(Maximum of Forecast and Actual order)

Opening Inventory of week 10 is 600(closing inventory of week 9)

Requirement of week 10 is 300

MPS of week 10 is 0

Projected Inventory of week 10=0+600-300=300 units

keosha answered 2 years ago

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