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Problem 21

Prepare a master schedule like that shown in Figure 11.11 given this information: The forecast for each
week of an eight-week schedule is 50 units. The MPS rule is to schedule production if the projected on-
hand inventory would be negative without it. Customer orders (committed) are as follows:

Week Customer Orders


1 52
2 35
3 20
4 12
Use a Production lot size of 70 units and beginning inventory 10 units.

Inventory from Projected


Week Previous week Requirements Net Inventory (70) MPS Inventory
1 10 52 -42 + 70 = 28
2 28 50 -22 + 70 = 48

3 48 50 -2 + 70 = 68

4 68 50 18 18

5 18 50 -32 + 70 = 38

6 38 50 -12 + 70 = 58

7 58 50 8 8

8 8 50 -42 + 70 = 28
PROBLEM 22
Determine the available-to-promise (ATP)
quantities for each period for Problem 21.

PERIOD

10 1 2 3 4 5 6 7 8
Forecast 50 50 50 50 50 50 50 50
Customer orders
52 35 20 12
(commited)
Projected on-hand
28 48 68 18 38 58 8 28
inventory
MPS 70 70 70 70 70 70

Available-to-
promise inventory 28 35 38 70 70 70
(uncommitted)

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