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17 January, 10:38

Mrp works best if the inventory items have dependent demand. True or false?

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  1. 17 January, 14:35
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    Answer: The correct answer is True.

    Explanation: Materials Requirement Planning works best if the inventory items have dependent demand. Dependent demand items are components of finished goods. For example, in a bicycle factory one of the inventory items may be tires.

    MRP is a system that works backwards, starting with a production plan for finished goods. This is used to develop requirements for components and raw materials needed to produce the final product within the established schedule.
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