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The net requirements

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The MPS calls for 120 units of Product X. There are currently 30 of Product X on hand. Each X requires 4 of Component Y. There are 20 units of Y on hand.

What are the net requirements for X?
What are the gross requirements for Y?
What are the net requirements for Y?

The MPS call for 100 units of Product X. There are currently 60 of Product X on hand. Each X requires 2 of Part Y. There are 30 units of Y available.

What are the net requirements for X?
What are the gross requirements for Y?
What are the net requirements for Y?

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Solution Summary

The solution shows calculations of the net requirements for product.

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Hi,

Please see response to your posting as given below.

Problem 1 -
Product X:
On hand inventory = 30
Gross requirements = 120
Net requirements = Gross requirements - on hand inventory - planned order (order expected to arrive)
= 120 - 30 - 0 = ...

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