Assume that the company using the following product structure tree has 5 items each at the 0 level, 10 items each at the 1 level, and 20 items each at the 2 level.

-How many units of B will the company need to acquire in order to ship an order of 20 X's?
A)50
B)70
C)125
D)145
E)165

Question

Assume that the company using the following product structure tree has 5 items each at the 0 level, 10 items each at the 1 level, and 20 items each at the 2 level.
 
-How many units of B will the company need to acquire in order to ship an order of 20 X's?
A)50 
B)70 
C)125 
D)145 
E)165

Quizplus · Accepted Answer

The company needs 5 units of B to ship 1 unit of X. So, to ship 20 units of X, the company will need 5 * 20 = 100 units of B. However, the company already has 30 units of B, so it needs to acquire 100 - 30 = 70 units of B.

Assume That the Company Using the Following Product Structure Tree