1. Describe in general terms, how you think the distribution system, for McDonald's works.

2. List some of the operations and functions in a company that are dependent on a forecast for product demand.

3. Managers at the Dew Drop Inn are concerned about the increasing number of guests who make reservations but fail to show up. They have decided to institute a policy of overbooking like larger hotel chains. The profit from a paying guest averages $50 per room per night. The cost of putting up a guest at another hotel is $100 per room per night. Records show the following number of no-shows over the past three months: No-Shows Frequency 0 18 1 36 2 27 3 9

4. Describe a production environment in which MRP would be useful. Describe a production environment in which MRP would not be useful.

5. Explain with an example the difference between dependent and independent demand.

6. What are the objectives, inputs, and outputs of an MRP system?