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Question

The product structure of product A is shown in figure. If we have to produce 200 units, What wil be the net requirement of item S?
Given initially we have 20, 40, 30 and 10 units of P, Q, R and S respectively.

A
1510 units
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B
1570 units
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C
790 units
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D
1590 units
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Solution

The correct option is A 1510 units
For 200 units of A.
Units of P = 2 x 200 = 40 units
Net requirement of P = 400 - 20 = 350 units
for 1 unit of P, units of S required = 4
Net requirement of S = 4 x 380 - 10 = 1520 - 10 = 1510 units

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