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In 300 words or more answser the following questions: 1.  There are two basic Aggregate Planning Strategies:...

In 300 words or more answser the following questions:

1.  There are two basic Aggregate Planning Strategies:

Level Capacity:
Maintaining a steady rate of regular-time output while meeting variations in demand by a combination of options.
Chase Demand:
Matching capacity to demand; the planned output for a period is the expected demand for that period.

Which of these two strategies do you recommend? Why?

2. Discuss the following MRP Processing components and their interrelationship. You may use different scenarios for Lot sizing (Lot-for-lot or EOQ).

Gross requirements
Schedule receipts
Projected on hand
Net requirements
Planned-order receipts
Planned-order releases

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