31) A firm uses the pure chase strategy of aggregate plan-
ning. It produced 1000 units in the last period. Demand
in the next period is estimated at 800, and demand over
the next six periods (its aggregate planning horizon) is
estimated to average 900 units. Which of the following
tactics would be most representative of following a chase
D
strategy?
A) add 100 units to inventory in the next period
B) add 200 units to inventory in the next period
C) hire workers to match the 100-unit difference
D) lay off workers to match the 200-unit difference
E) implement a lower price point to increase demand
5) A firm uses graphical techniques in its aggregate plan-
ning efforts. Over the next twelve months (its intermediate
period), it estimates the sum of demands to be 105,000
units. The firm has 250 production days per year. In Janu-
ary, which has 22 production days, demand is estimated
to be 11,000 units. A graph of demand versus level pro-
duction will show that:
A) the January requirement is below level production of
C
420 units.
B) level production is approximately 1000 units per day.
C) level production of 420 units per day is below the
January requirement.
D) level production is approximately 420 units per
month.
E) the firm must hire workers between December and
January.
The jobs listed below need to be completed. Assume that
it is now day 140. If the jobs are sequenced according to
the longest processing time rule, what is the lateness of
, job A?
Job Processing Time (days) Job due date (days)
A 20 180
B 30 200
C 10 175
D 16 230
D
E 18 210
A) 0.0 days
B) 24.0 days
C) 7.4 days
D) 10.0 days
E) 11.6 days
5) It is week 1 and there are currently 20 As in stock. We
need 300 As at the start of week 5. If there are scheduled
receipts planned for week 3 and week 4 of 120 As each
and A has a lead time of 1 week, when and how large of
an order should be placed to meet the requirement of 300
As? D
A) Week 1, 300 As
B) Week 1, 40 As
C) Week 5, 40 As
D) Week 4, 40 As
E) Week 4, 300 As
10) An order for 110 units of Product M has been placed.
There are currently 30 units of Product M on hand. Each
M requires 4 units of Component N. There are 20 units of
C
N on hand. What are the net requirements for N?
A) 150
B) 170
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