Question

A firm has 43 units of a certain product on hand. Forecasts for the first two planning periods are 20 units each. A production quantity of 80 units is planned to be available in period 3. Customer orders are 22 for period 1 and 17 for period 2. What quantity is available for commitment to new customers in either of the first two periods?

1

21

20

4

Impossible to say without more information

Answer 1

It will have available for new customers 4 units

Step-by-step explanation:

available at hand: 43

booked orders during this two period: (39) (22 1stperiod + 17 2nd period)

available to new customers: 4

For new customer the company has available 4 units.

In period 3 the quantity will increase by 80 leaving an inventory available for 83 units.