Problems
1. David's Delightful Kites Company (DDKC) manufactures kites. The most popular is David's Daredevil model. Demand management has prepared forecast estimates for the next six weeks. Beginning inventory is 15 David's Daredevils. As the master scheduler for DDKC, you must prepare an MPS. Your MPS order quantity is 72 kites.

(a) Prepare the MPS using an order quantity of 72 kites.
(b) Calculate the ending inventory for each period.
(c) What is the maximum number of units held in inventory?
(d) How many MPS orders are needed?
2. In an effort to reduce setup frequency, DDKC has decided to use an MPS order quantity of 120 kites. (See Problem 1 for data.)
(a) Prepare the MPS using the new order quantity.
(b) Calculate the ending inventory for each period.
(c) Compare this MPS with the MPS developed in Problem 1.
3. DDKC has decided to change its replenishment policy. Instead of producing 72 or 120 kites each order, DDKC has reduced its MPS order quantity to 48 kites.
(a) Develop an MPS using 48 kites as the order quantity.
(b) Calculate the ending inventory for each period.
(c) Compare this MPS with the schedules developed in Problems 1 and 2.
4. Wine Accessories Inc. (WAI) produces two models of corkscrews, the standard model and a deluxe model. WAI follows a level aggregate plan, producing 20,000 corkscrews per month, or 5000 corkscrews per week. The MPS is developed in weekly ...
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