Sigma Electronics Produces Telephone Cameras Cell Phone Production Manager Would Like Crea Q34241483

Sigma Electronics produces telephone cameras for cell phone. Theproduction manager would like to create an MRP for their cell phonecameras with a minimum cost possible. The following table showgross requirements of the product. Develop a Part Period Balancing​(PPB) solution and calculate the total relevant costs for theMRP.

                                                                                                                                   

Period

1

2

3

4

5

6

7

8

9

10

11

12

Gross requirements

30

40

40

70

20

10

70

40

​Also, for this plan the Holding

costequals=​$2.50/unit/period;

setup

costequals=​$200​;

lead

timeequals=1

​period; beginning

inventoryequals=40

units.

Use the table below to develop a PPB solution for MRP ​(enteryour responses as whole​ numbers).

Period

1

2

3

4

5

6

7

8

9

10

11

12

Gross requirements

30

40

40

70

20

10

70

40

​On-hand at beginning of period

40

​On-hand at end of period

Order receipt

Order release

The total relevant cost is​ =

​$

​(enter your response as a whole​ number).

Expert Answer

Answer:

Table Prepared in MS Excel

Considering Lead Time =