Deck 4: Material Requirements Planning

Question 1

Which of the following statements is best?

A) item A is the parent of item B
B) item D is on level 3
C) item A is a parent of item D
D) all of the above are true
E) none of the above is true

Answer 1

A

Question 2

A set of priority planning techniques for planning component items below the end item level is called:

A) master scheduling
B) material requirements planning
C) capacity planning
D) production control
E) none of the above

Answer 2

B

Question 3

The objectives of material requirements planning are to:

A) issue orders to purchasing and manufacturing
B) keep priorities current
C) determine requirements
D) all of the above
E) b and c above

Answer 3

D

Question 4

Which of the following is (are) elements in an MRP system?

A) the computer
B) bills of material
C) inventory records
D) all of the above
E) none of the above

Question 5

Which statement is best?

A) the planned order release of the parent generates the gross requirement of the component
B) the planned order release of the parent becomes the net requirement of the component
C) the planned order release of the component becomes the order receipt of the parent
D) all of the above are true
E) none of the above is true

Question 6

The ability to relate the demand for an item shown on an MRP record back to the particular parent causing the demand is called:

A) where-used
B) relating
C) pegging
D) any one of the above
E) none of the above

Question 7

Which statement is correct?

A) a product tree shows the parts that go into making a product
B) a part has one and only one part number
C) net requirements = gross requirements - on-hand inventory - scheduled receipts
D) all of the above are correct
E) none of the above is correct

Question 8

A multi-level bill of material:
I) Reflects the way the product will be manufactured.
II) Is produced by the purchasing department.
III) Is a parts list only and does not contain subassemblies.

A) only I is true
B) only II is true
C) only III is true
D) I and II are true
E) I, II and III are true

Question 9

A major input to an MRP system is:

A) the production plan
B) the capacity plan
C) shop-floor activity planning and control
D) the master schedule
E) none of the above

Question 10

Which statement is correct?

A) planned order releases show when the order is needed
B) when an order is released, it becomes a planned order
C) scheduled receipts show when goods were put into inventory
D) all of the above are correct
E) none of the above is correct

Question 11

Which of the following statements is best?

A) a where-used report is the same as a pegging report
B) a where-used report shows all the components that go into assembly
C) a pegging report shows all the parents for a component
D) a where-used report shows only those parents for which there is an existing requirement
E) pegging reports show only the parents for which there are requirements

Question 12

Which of the following statements is best about released orders?

A) a scheduled receipt is a released order
B) an open order is a released order
C) a planned order release is a not a released order
D) all of the above are true
E) none of the above are true

Question 13

In material requirements planning the process of placing the exploded requirements in the proper time periods, based on the assembly lead times involved, is known as:

A) exploding
B) offsetting
C) netting
D) all of the above
E) none of the above

Question 14

The lead time for each item is 1 week. If an order for 50 of A is to be delivered in week 5, in what week will there be a planned order RELEASE for item B?

A) 5
B) 4
C) 3
D) 2
E) 1

Question 15

A product tree shows:

A) the parts that go into making a product
B) the subassemblies used in making the product
C) the sequence in which parts go together
D) all of the above
E) none of the above

Question 16

The document that shows the component parts and the number of parts needed to make one of an assembly or subassembly is called:

A) a route sheet
B) a material requirements plan
C) a bill of material
D) a material requisition
E) none of the above

Question 17

is a set of priority planning techniques for planning component items below the
:

A) Material requirements planning; end item level
B) Master production scheduling; the market plan
C) Production planning; end item level
D) all of the above
E) none of the above

Question 18

In the diagram below the independent demand item is:

A) X
B) 1
C) 2
D) 3
E) 4

Question 19

A bill of material whose purpose is to simplify forecasting, master production scheduling and material requirements planning is called:

A) a summarized parts list
B) where-used bill
C) planning bill
D) structured bill
E) multi-purpose bill

Question 20

Which of the following statements is best?

A) a part number identifies one part only
B) a part has one and only one part number
C) the same part on different bills of material will have the same part number
D) all of the above are true
E) none of the above is true

Question 21

Which of the following statements is true?
I) Firm planned orders are planned orders frozen by the planner.
II) Released orders are planned orders that have been released by the computer.
III) The planner should not release an order unless satisfied the order can be carried out.

A) I and II only
B) I and III only
C) II and III only
D) I, II, and III
E) none of the statements is true

Question 22

Which of the following is NOT true of an MRP record?

A) the current time is the beginning of the first period
B) the number of periods in the record is called the planning horizon
C) an item is considered to be available at the end of the time bucket in which it is required
D) the projected on-hand balance is for the end of the period
E) the immediate or most current period is called the action bucket

Question 23

Given the following product tree, the parent of B is:

A) A
B) B
C) C
D) D
E) E

Question 24

In material requirements planning, the process of placing the exploded requirements in the proper time periods, based on the assembly lead times involved, is known as:

A) scheduling
B) offsetting
C) netting
D) all of the above
E) none of the above

Question 25

Service parts experience which of the following types of demand?

A) Independent
B) Dependent
C) Independent and Dependent
D) None of the above

Question 26

Three inputs to the MRP process are:

A) production activity control, purchasing, and the production plan
B) inventory status, the master production schedule, and the product structure
C) the master production schedule, inventory status, and the capacity requirements plan
D) the product structure, production activity control, and inventory status
E) the product structure, production activity control, and the master production schedule

Question 27

In the product structure diagram below item A has _ demand and item D has
Demand.

A) dependent, dependent
B) dependent, independent
C) independent, independent
D) independent, dependent
E) none of the above answers are correct

Question 28

The following two questions use the information in this MRP record. The lead time is 3 weeks.
$\begin{array}{llllll}\text { Week } & 1 & 2 & 3 & 4 & 5 \\\text { Gross requirements } & 60 & 50 & 60 & 70 & 20 \\\text { Scheduled receipts } & & 100 & & &\\\text { Projected available }&40&90&30&&40\\\text { Net requirements Planned }\\\text { order receipt Planned }\\\text { order release } \quad100\end{array}$

-The projected available to be shown in week four is:

A) 0
B) 60
C) 70
D) 80
E) none of the above

Question 29

Which of the following comes directly from external customers?

A) Dependent demand
B) Independent demand
C) Bill of materials
D) Order quantity

Question 30

A bill of material for an item must change:

A) when a component changes
B) when there is a change in the use of the item
C) when the item is used in another parent
D) never
E) if the item is fully interchangeable

Question 31

Given the following parents and components, how many Bs are required to make an X? Quantities are shown in brackets.
$$\begin{array} { l l l } \text { Parent } & \mathrm { X } & \mathrm { A } \\\text { Component } & \mathrm { A } ( 2 ) & \mathrm { B } ( 2 ) \\& \mathrm { B } ( 1 ) & \mathrm { D } ( 1 )\end{array}$$

A) 1
B) 2
C) 3
D) 4
E) 5

Question 32

Use the following MRP record and your calculations to answer the following two questions. The component has an order quantity of 100, a safety stock of ten, and a lead time of one period. Complete the following MRP record.
$\begin{array} { l l l l l } \text { Week } & 1 & 2 & 3 & 4 \\\text { Gross requirements } & 25 & 80 & 20 & 80 \\\text { Scheduled receipts } & 100 & & & \\\text { Projected available } &30 & & & \\\text { Net requirements } & & & \\\text { Planned order receipt } & & & \\\text { Planned order release } & & &\end{array}$


-Complete the above MRP record. Which of the following statements is correct?

A) a planned order for 50 should be released in period two
B) the projected available in period three is 105
C) the projected available in period three is five
D) the planned order release of 100 is in period 3
E) the planned order release of 100 is in period 5

Question 33

The following two questions use the information in this MRP record. The lead time is 3 weeks.
$\begin{array}{llllll}\text { Week } & 1 & 2 & 3 & 4 & 5 \\\text { Gross requirements } & 60 & 50 & 60 & 70 & 20 \\\text { Scheduled receipts } & & 100 & & &\\\text { Projected available }&40&90&30&&40\\\text { Net requirements Planned }\\\text { order receipt Planned }\\\text { order release } \quad100\end{array}$

-The net requirement for week four is:

A) 25
B) 30
C) 40
D) 100
E) none of the above

Question 34

Which of the following statements is best regarding part numbering systems?

A) significant part numbering systems are difficult to maintain
B) it is easier to remember numbers than letters
C) a random number is an identifier not a descriptor
D) all of the above are true

Question 35

Which of the following statements is best?

A) the same part on different bills of material has different part numbers
B) a part number identifies one part only
C) a significant part numbering system should always be used
D) all of the above are true
E) none of the above are true

Question 36

Which of the following statements is best?

A) every item has more than one low-level code
B) net requirements = gross requirements + on-hand + scheduled receipts
C) each part has at least one part number, depending on where it is used
D) all of the above are true
E) none of the above is true

Question 37

Use the following MRP record and your calculations to answer the following two questions. The component has an order quantity of 100, a safety stock of ten, and a lead time of one period. Complete the following MRP record.
$\begin{array} { l l l l l } \text { Week } & 1 & 2 & 3 & 4 \\\text { Gross requirements } & 25 & 80 & 20 & 80 \\\text { Scheduled receipts } & 100 & & & \\\text { Projected available } &30 & & & \\\text { Net requirements } & & & \\\text { Planned order receipt } & & & \\\text { Planned order release } & & &\end{array}$


-The projected available in period four is:

A) 0
B) 5
C) 15
D) 25

Question 38

Which of the following is elapsed time from recognition of a need until the time that need is satisfied?

A) Production time
B) Lead time
C) Cycle time
D) Schedule

Question 39

The document that shows the component parts and the number of parts needed to make one of an assembly or subassembly is called:

A) a route sheet
B) a material requirements plan
C) a bill of material
D) a material requisition
E) none of the above

Question 40

In the following product trees the low level code of item D is:

A) 0
B) 1
C) 2
D) 3
E) 4

Question 41

Which of the following represents a major difference between a scheduled receipt and a firm planned order?

A) The computer can move the scheduled receipt, not the firm planned order
B) Only the scheduled receipt can occur within the planning horizon
C) Only the scheduled receipt represents a financial commitment
D) The scheduled receipt is generated from the master schedule, the firm planned order generated from MRP