Jan. Feb. March April May June July Aug. Sept. Oct. Nov. Dec. Avg.Forecast 2500 3000 4000 3500 3500 3000 3000 4000 4000 4000 3000 3000Beginning inventory 500 1250 1500 2000 1750 1750 1500 1500 2000 2000 2000 1500Production requirements 3250 3250 4500 3250 3500 2750 3000 4500 4000 4000 2500 3000 3458.3Ending inventory 1250 1500 2000 1750 1750 1500 1500 2000 2000 2000 1500 1500

Total CostForecast 2500 3000 4000 3500 3500 3000 3000 4000 4000 4000 3000 3000 40500Beginning inventory 500 1360 1720 1080 940 800 1160 1520 880 240 -400 -40Production plan 3360 3360 3360 3360 3360 3360 3360 3360 3360 3360 3360 3360 40320 $403,200Ending inventory 1360 1720 1080 940 800 1160 1520 880 240 -400 -40 320Safety stock 1250 1500 2000 1750 1750 1500 1500 2000 2000 2000 1500 1500Excess inventory 110 220 20 350 $1,750Back order 400 40 440 $8,800

Total $413,750

1.

A

B(2)

C

D(3) F

Level

0

1

2

3D

B(3)

E E(4)

D(3) F

E E 4

Period: 1 2 3 4 5 6 7 8 9 10Item: A Gross requirements 20

OH: 5 Scheduled receipts 10LT: 2 Projected available balance 5 5 15 15 15 15 15 15 15 15SS: 0 Net requirements 5Q: 20 Planned order receipts 20

Planned order releases 20Item: C Gross requirements 20

OH: 0 Scheduled receiptsLT: 1 Projected available balance 0 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 20Q: L4L Planned order receipts 20

Planned order releases 20Item: B Gross requirements 60 40

OH: 10 Scheduled receipts 20LT: 2 Projected available balance 10 10 10 10 10 10 10 10 10 10SS: 0 Net requirements 30 30Q: 40 Planned order receipts 40 40

Planned order releases 40 40Item: D Gross requirements 120 120 20

OH: 100 Scheduled receiptsLT: 3 Projected available balance 100 100 100 100 140 20 0 0 0 0SS: 0 Net requirements 20 0Q: 160 Planned order receipts 160

Planned order releases 160Item: F Gross requirements 40 40

OH: 0 Scheduled receipts 40LT: 2 Projected available balance 0 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 0 40Q: L4L Planned order receipts 40

Planned order releases 40Item: E Gross requirements 160 80

OH: 100 Scheduled receipts 60LT: 2 Projected available balance 100 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 0 80Q: L4L Planned order receipts 80

Planned order releases 80

Period: 1 2 3 4 5 6 7 8 9 10Item: A Gross requirements 20

OH: 5 Scheduled receipts 10LT: 2 Projected available balance 5 5 15 15 15 15 15 15 15 15SS: 0 Net requirements 5Q: 20 Planned order receipts 20

Planned order releases 20Item: C Gross requirements 20

OH: 0 Scheduled receiptsLT: 1 Projected available balance 0 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 20Q: L4L Planned order receipts 20

Planned order releases 20Item: B Gross requirements 60 40

OH: 10 Scheduled receipts 20LT: 2 Projected available balance 10 10 10 10 10 10 10 10 10 10SS: 0 Net requirements 30 30Q: 40 Planned order receipts 40 40

Planned order releases 40 40Item: D Gross requirements 20

OH: 100 Scheduled receiptsLT: 3 Projected available balance 100 100SS: 0 Net requirementsQ: 160 Planned order receipts 40 40 20

Planned order releases 40 40 20Item: F Gross requirements

OH: 0 Scheduled receipts 40LT: 2 Projected available balance 0 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 0Q: L4L Planned order receipts

Planned order releasesItem: E Gross requirements

OH: 100 Scheduled receipts 60LT: 2 Projected available balance 100 0 0 0 0 0 0 0 0 0SS: 0 Net requirements 0Q: L4L Planned order receipts

Planned order releases