A company is seeking to develop a master production schedule for its product. Their beginning inventory is 1000 units and they want to maintain a safety stock level of 1000 units. They produce the product in a fixed lot size of 1200 units. Information regarding weekly demand is shown below:
a.What is the ending inventory level for week 2?
b.What is the production quantity for week 4?

Question

A company is seeking to develop a master production schedule for its product. Their beginning inventory is 1000 units and they want to maintain a safety stock level of 1000 units. They produce the product in a fixed lot size of 1200 units. Information regarding weekly demand is shown below:  
a.What is the ending inventory level for week 2?
b.What is the production quantity for week 4?

Quizplus · Accepted Answer

The Answer of A company is seeking to develop a master production schedule for its product. Their beginning inventory is 1000 units and they want to maintain a safety stock level of 1000 units. They produce the product in a fixed lot size of 1200 units. Information regarding weekly demand is shown below:  
a.What is the ending inventory level for week 2?
b.What is the production quantity for week 4?

A Company Is Seeking to Develop a Master Production Schedule