Scenario 11.2
Item
Amount
Item
Amount
Item
Amount
O
17
F
15
D
30
P
25
U
11
E
93
C
13
N
34
Inventory amounts indicated in the table are available to produce the end item indicated in this bill of
materials.
29) Use Scenario 11.2 to answer this question. How many additional units of E are needed to produce ten
end items?
A) 620
B) 103
C) 236
D) 350
30) Use Scenario 11.2 to answer this question. How many additional units of D are needed to produce
seven end items?
A) 40
B) 22
C) 68
D) 10
31) Use Figure Scenario 11.2 to answer this question. How many additional units of P are needed to
produce ten end items?
A) 46
B) 38
C) 0
D) 13
32) Use Scenario 11.2 to answer this question. How many additional units of F are needed to produce
twelve end items?
A) 174
B) 192
C) 182
D) 160
33) Which of the following is not used to derive an item‘s gross requirements?
A) the MPS for immediate parents that are end items
B) the planned order releases for immediate parents below the MPS level
C) the MPS components that are not purchased items
D) any other requirements not originating in the MPS, such as the demand for replacement parts
34) A computer-generated memo used by inventory planners to make decisions about releasing new
orders and adjusting due dates of scheduled receipts is an:
A) enterprise report.
B) infinite capacity.
C) action notice.
D) input-output report.
Scenario 11.3
Use this bill of materials and inventory records to answer the questions.
Item
Amount
Item
Amount
D
2
F
11
P
12
N
12
E
8
35) Use Scenario 11.3 to answer this question. How many additional units of E are required to produce 20
end items?
A) 644
B) 720
C) 712
D) 692
36) Use Scenario 11.3 to answer this question. How many additional units of N are required to produce 25
end items?
A) 138
B) 150
C) 124
D) 112
37) Use Scenario 11.3 to answer this question. How many additional units of F are required to produce 17
end items?
A) 332
B) 329
C) 340
D) 314
38) Use Scenario 11.3 to answer this question. How many additional units of E are required to produce 33
end items?
A) 1,112
B) 2,046
C) 928
D) 1,180
39) A technique used for projecting time-phased capacity requirements for workstations is called:
A) capacity requirements planning.
B) time-adjusted output control.
C) input-output control.
D) work center planning.
40) Which of the following is not one of the uses of MRP in promoting a healthy environment?
A) An MRP system can track waste in a bill of materials as a component of an item.
B) When the master production schedule is developed for a product, reports can be generated that project
the quantity of waste.
C) When the master production schedule is developed for a product, reports can be generated that project
the timing of waste.
D) The MRP system can be used to communicate directly with the International Organization for
Standardization to file ISO 9000 documentation.
41) Which best defines the gross requirements for a component item?
A) the forecasted customer demand for the component
B) the amount of safety stock needed to buffer against uncertainties
C) the sum of gross requirements for all parents of the component
D) the total demand for the component derived from all immediate parents
42) MRP ________ is a process that converts the requirements of various final products into a material
requirements plan that specifies the replenishment schedule of all the subassemblies, components, and
raw materials needed by the final products.
43) The ________ is a record of all components of an item, the parent-component relationships, and usage
quantities derived from engineering and process design.
44) A(n ) ________ item has one or more parents but no components.
45) The L4L rule is a special case of the ________.
46) Among the four core processes of an organization that link activities within and across firms in a
supply chain, the ________ interacts with all of them either through its inputs or outputs.
47) A(n) ________ is an intermediate item that is assembled from one or more components.
48) ________ is the degree to which a component has more than one immediate parent.
49) The sums of the quantities in the master production schedule must equal those in the ________.
50) A(n) ________ is a record that divides the future into time periods called time buckets.
51) One thing that an MRP II system has that an MRP system does not is ________.
52) ________ are the total demand derived from all parent production plans.
53) ________ are orders that have been placed but not yet completed.
54) Waiting time and process time are two components of ________.
55) ________ is a lot–sizing rule under which the lot size ordered covers the gross requirements of a single
week.
56) A(n) ________ is inventory carried into a week but too small to prevent a shortage.
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57) The lot-for-lot (L4L) rule minimizes inventory investment but it also maximizes the number of
________.
58) ________ is a technique used for projecting time-phased capacity requirements for workstations.
59) ________ ties the basic MRP system to the company’s financial system.
60) What are the key inputs to an MRP system?
61) What is the explosion of the MPS and what are the outputs?
Answer: MRP translates, or explodes, the MPS and other sources of demand into the requirements needed
for all of the subassemblies, components, and raw materials the firm needs to produce parent items. This
62) What information can be gleaned from a bill of materials? If you were asked to produce an item based
solely on a copy of its BOM, what missing information would you need?
Answer: A bill of materials is a record of all the components of an item, the parent component
63) Explain the key differences between the FOQ, POQ, and L4L lot-sizing rules.
Answer: A fixed-order-quantity (FOQ) rule maintains the same order quantity each time an order is
64) Explain why, in a dependent demand environment, MRP does a better job of estimating the need to
replenish inventory items than does the reorder point system.
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65) How can an MRP system be used in a firm’s sustainability efforts?
Answer: Companies can modify their MRP systems to help them track their wastes and plan for their
disposal. The type and amount of waste associated with each item can be entered into its BOM by
66) Complete the following MRP record using the POQ rule.
Answer:
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67) Complete the following MRP record using the L4L rule:
Answer: