Table 16.7
Viola Products produces one item with the following bill of materials A recent check of their inventory reveals the following quantities on hand.
Currently no scheduled receipts exist for any of the dependent demand items.
-Use Table 16.7 to answer this question.How many additional units of H are needed to produce 20 end items?
A)fewer than 250
B)more than 250 but fewer than 350
C)more than 350 but fewer than 450
D)more than 450

Question

Table 16.7
Viola Products produces one item with the following bill of materials  A recent check of their inventory reveals the following quantities on hand.
  Currently no scheduled receipts exist for any of the dependent demand items.
-Use Table 16.7 to answer this question.How many additional units of H are needed to produce 20 end items?
A)fewer than 250 
B)more than 250 but fewer than 350 
C)more than 350 but fewer than 450 
D)more than 450

Quizplus · Accepted Answer

To produce 20 end items, we need to calculate the total dependent demand for item H.

Total dependent demand for item H = (3 × 20) + (5 × 20) + (2 × 20) = 60 + 100 + 40 = 200

We currently have 100 units of item H in inventory, so we need an additional 100 units to produce 20 end items. This is more than 450 units, so the answer is D.

Table 16.7 Viola Products Produces One Item with the Following Bill of Bill