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    Economic Concepts.

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    Please help describe the following:

    Periodic Order Quantity (POQ), Economic Order Quantity (EOQ) and Material Requirement Planning (MRP) Lot-Sizing Technique Concepts.

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    Periodic Order Quantity (POQ)

    A model used to order a definitive number of products or items to be obtained over an established time period. It is a method that is employed when the supply of raw materials or inventory (goods) is steady and foreseeable. With this approach, for example, a purchasing manager arranges for specified amounts of goods to be shipped at conventional periods that is set by means of a master purchase order agreement (Accounting Tools, 2015, p. 1). A purchasing manager records the specific quantity of goods received besides the overall total that was approved in alignment with the master procurement order, and can monitor a supplier's capability to ship goods on time (Accounting Tools, 2015, p. 1). POQ represents an easy and low-cost approach to order products or goods because it is a form of made to order that eliminates excess supply of products or goods.

    Economic Order Quantity (EOQ)

    EOQ model is ...

    Solution Summary

    This solution discusses the applicability of periodic order quantities, economic order quantities and material requirements planning.