Closed-loop MRP:

A) is a system which closes the loop between the supplier and the purchaser.
B) provides a feedback loop between capacity and the master production schedule.
C) requires a feedback loop between purchasing and accounting.
D) requires a check between the master production schedule and inventory.
E) allows a unit manager to sequence jobs done in that department.

Closed-Loop MRP

A material requirement planning system that not only plans manufacturing activities but also provides feedback on the execution against this plan.

Master Production Schedule

A plan for the production of finished goods that drives material requirements planning, detailing quantities and the timing of production.

Capacity

The maximum level of output that a system, facility, or organization can produce or handle under normal operating conditions.