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Luis’ factory manufactures a round 48-inch table with a removable center section

ID: 366845 • Letter: L

Question

Luis’ factory manufactures a round 48-inch table with a removable center section that when in place extends the dimensions to 48- by 60-inches. It currently has an order for 500 tables. Each table (#t200) requires two finished table top halves (#248f), one track subassembly (#t248trsa), four table legs (t200l) and one table insert (#248i). Each finished table top half requires one unsanded table top half (#248uf).

Additional information is the following:

Item

#t200

#t248f

#t248trsa

#200l

#248i

#248uf

On hand

75

100

500

240

175

105

Safety stock

25

20

0

120

25

50

Allocated

0

0

0

0

0

0

Scheduled Receipts

--

160 in Week 1

--

480 in week 1

--

280 in week 1

Provide the additional number of all items, including the table itself, that are required to meet the total demand shown for the tables. The On hand includes the Safety Stock. Ignore the timing of these requirements.

Item

#t200

#t248f

#t248trsa

#200l

#248i

#248uf

On hand

75

100

500

240

175

105

Safety stock

25

20

0

120

25

50

Allocated

0

0

0

0

0

0

Scheduled Receipts

--

160 in Week 1

--

480 in week 1

--

280 in week 1

Explanation / Answer

The additional requirement of the items is determined as follows:

Net Requirement = Gross requirement – On hand – Scheduled receipts + Safety stock

Item

#t200

#t248f

#t248trsa

#200l

#248i

#248uf

On hand

75

100

500

240

175

105

Safety stock

25

20

0

120

25

50

Allocated

0

0

0

0

0

0

Scheduled Receipts

--

160 in Week 1

--

480 in week 1

--

280 in week 1

Requirement as per unit of parent item

requires 2 units for #t200

requires 1 unit for #t200

requires 4 units for #t200

requires 1 unit for #t200

requires 1 unit for #t248f

Gross Demand

500

2*450

= 900

450

4*450

= 1800

450

660

Net Requirement

500-75+25

= 450

900-100-160+20

= 660

0

1800-240-480+120

= 1200

300

325

Item

#t200

#t248f

#t248trsa

#200l

#248i

#248uf

Net Requirement

450

660

0

1200

300

325

Item

#t200

#t248f

#t248trsa

#200l

#248i

#248uf

On hand

75

100

500

240

175

105

Safety stock

25

20

0

120

25

50

Allocated

0

0

0

0

0

0

Scheduled Receipts

--

160 in Week 1

--

480 in week 1

--

280 in week 1

Requirement as per unit of parent item

requires 2 units for #t200

requires 1 unit for #t200

requires 4 units for #t200

requires 1 unit for #t200

requires 1 unit for #t248f

Gross Demand

500

2*450

= 900

450

4*450

= 1800

450

660

Net Requirement

500-75+25

= 450

900-100-160+20

= 660

0

1800-240-480+120

= 1200

300

325