Exam 12: MRP and ERP

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In MRP, the gross requirements of a given component part are calculated from:

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Initially, a master production schedule - the output from MRP - may not represent a feasible schedule.

(True/False)
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Which of the following most closely describes dependent demand?

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End item Alpha's product structure tree and inventory information are as follows:

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A recent effort to expand the scope of production resource planning by involving other functional areas in the planning process has been:

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Under lot-for-lot, order sizes for component parts are essentially determined directly from which one of the following?

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Which of these products would be most likely to have dependent demand?

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The bill of materials contains information on lead times and current inventory position on every component required to produce the end item.

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The development and application of MRP depended upon two developments: (1) the recognition of the difference between independent and dependent demand, and (2):

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Independent demand tends to be more 'lumpy' than dependent demand meaning that we need large quantities followed by periods of no demand.

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ERP began in manufacturing organizations but has spread into service organizations.

(True/False)
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An MRP system whose records are updated continuously is referred to as a(n):

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Load reports show capacity requirements for departments or work centers which may be more or less than the capacity available in that work center.

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The MRP input listing the assemblies, subassemblies, parts, and raw materials needed to produce one unit of finished product is the:

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Which one of the following most closely describes the MRP approach that is used for components or subassemblies to compensate for variations in lead time?

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The master schedule needs to be for a period long enough to cover the stacked or cumulative lead time necessary to produce the end items.

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_______ is choosing how many to order or make.

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In MRP, EOQ models tend to be less useful for materials at the lowest levels than for upper level assemblies of the bill of materials since higher-level assemblies have larger dollar investments.

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MRP works best if the inventory items have dependent demand.

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When should an order for Carved Chocolate Eggs be released?

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