A company uses Process manufacturing for most products and Discreet manufacturing for other products. The company is creating a formula for a new product. The new item will be used to make a name brand product and two generic brand products.
This item has the following requirements:
– Production of the name brand and generic products must use the same formula.
– The company must produce all three items at the same time.
You need to create a produced item that can make two generic items and one main item.
How should you set up the item?
A . Create the name brand product as the main product and use a formula production type.
Create the two generic items as a formula planning production type planning items.
Copy the formula from the name brand item into each of the generic items.
B . Create the name brand product as the main product and use a formula production type.
Create the two generic products as co-products as part of the formula for the name brand product.
C . Create the name brand item as a Bills of material production type item.
Create the two generic items as a sub-assembly on the Bills of material for the name brand product.
D . Create the name brand item as a Bills of material production type item.
Add the two generic items on the Bills of material for the name brand product and use line type phantom.
Answer: B
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