Q4: M/S XYZ Company Manufactures Sports bikes and supplies them to the local market. A local sub-contracting manufacture

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Q4 M S Xyz Company Manufactures Sports Bikes And Supplies Them To The Local Market A Local Sub Contracting Manufacture 1 (113.4 KiB) Viewed 37 times

Q4: M/S XYZ Company Manufactures Sports bikes and supplies them to the local market. A local sub-contracting manufacturer supplies the wheels to the M/S XYZ Company through a purchase contract. The sub-contracting company initially purchases aluminium billets as raw material and manufactures wheels by forming each billet into wheel rims. Both the rims (front and rear) are assembled with spokes, front and rear hubs. Front wheels comprise a front rim, 24 spokes and a front hub Rear wheels comprise a rear rim, 24 spokes and a rear hub. (1) Draw the Bill of Material (BOM) tree for the front and rear wheels. [4 Marks] (ii) Referring to table 4(i) and 4(ii), complete the Material Requirements Planning (MRP) and determine when to Purchase Orders placed for the spokes. [26 Marks) Table 4 (0) Week 12 13 14 15 16 17 Demand for the bikes 80 70 90 120 100 85 50 40 30 125 Demand of Front Rim The demand of Rear Rim 70 60 80 Table 4 (ii) Part/Component Lead Time Stock on Hand Batch Size Safety Stock Bike Front wheel Rear wheel Front Rim Rear Rim Front Hub Rear Hub Spokes 1 1 1 1 1 2 2 1 1 1 200 100 60 100 150 100 100 9700 100 120 150 150 100 150 100 3,000 0 100 125 100 100 50 50 1,100