Consider the following product structure. If the demand for product A is 30 units,and there are 10 units of B on hand and none of C,how many units of part D will be needed?
A)3
B)40
C)70
D)90
E)110

Question

Consider the following product structure.  If the demand for product A is 30 units,and there are 10 units of B on hand and none of C,how many units of part D will be needed?
A)3 
B)40 
C)70 
D)90 
E)110

Quizplus · Accepted Answer

Based on the product structure, we know that:
- 1 unit of A requires 2 units of B
- 1 unit of B requires 3 units of C
- 1 unit of C requires 2 units of D

Therefore, to produce 30 units of A, we need:
- 30 * 2 = 60 units of B
- 60 * 3 = 180 units of C
- 180 * 2 = 360 units of D

Since we have 10 units of B and none of C, we need to produce:
- 60 - 10 = 50 units of B
- 180 units of C
- 180 * 2 = 360 units of D

So the answer is 360 units of D, which is option C.

Consider the Following Product Structure