INTE Exam Dumps : Supply Management Integration

A firm has created the following process flow diagrams depicting two possible strategies for the production of a new product line. The triangles represent inventory, and the rectangles represent processing. Each of the two options start with the same raw materials, and both create the product through two stages of processing.

Which of the following statements is correct?

A manufacturing firm prepares the following materials requirement plan (MRP):

Master Production Schedule

Week123456

Item A101015152020

Relevant Information

ItemItem's ParentItem's Lead TimeItem's Lot SizeItem's Current Inventory

ANone1 weekLFL50

BA2 weeks5010

CB2 weeks5010

Using MRP methodology, how much of Item B should be ordered, and when should it be ordered7

A manufacturer is working to standardize high-volume, low-cost hardware components used in its assembly process. The manufacturer wants to transfer some of the risks associated with inventory carrying costs, warehousing costs, and re-stocking costs to the supplier. Which of the following will be MOST useful in accomplishing this goal?