Explain the correct net requirement

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Reference no: EM1357321

In the following MRP planning schedule for Item J, indicate the correct net requirements, planned order receipts, and planned order releases to meet gross requirements. Lead time is one week.

WEEK
ITEM J 0 1 2 3 4 5
Gross Requirements 75 50 70
On-hand 40
Net requirements
Planned order receipt
Planned order release

Assume that Product Z is made of two units of A and four units of B. A is made of three units of C and four D. D is made of two units of E. Lead times for purchase or fabrication of each unit to final as-sembly are: Z takes two weeks, A, B, C, and D take one week each, and E takes three weeks. Fifty units are required in Period 10. Assume that there are currently no inventories on hand of any of these items.

a. Show the bill of materials (product structure tree).

b. Develop an MRP planning schedule showing gross and net requirements and order release and re-ceipt dates.

Reference no: EM1357321

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