Explaination for background steps in MRP with example

Dear SAP Guru's,
  I received the explaination for below steps in MRP.
But, it wouid be better if i could get the explaination for step 2 with example, step 3 for lot size EX & step 5 also with example.
1. Check planning File Entry
2. Net requirements Calculation
3. Lot size calculation
4. Scheduling
5. Source determination
6. BOM explosion
1. Check planning File Entry: An entry is made in the planning file as soon as any changes are done to the material which are relevent to MRP. Eg. Changing MRP type, Changing BOM Qty. System checks if there is an entry. chk sample planning file entry in md21.
2. Net requirements Calculation: It checks the available stock of the materials. Required minus available = net required qty. availability check plays vital role in this.
3. Lot size calculation: Depending on the lot size maintained in the material master, it groups the materials. eg. If you use lot size as FX(Fixed lot Size) with fixed lot size qty = 100, then system will create pld ord or PR for the material in fixed lot of 100 always.
4. Scheduling: You can either carry out basic dates scheduling (values taken from MRP 2 view) or Lead time scheduling (values taken from routing) to this the floats are added and scheduling is carried out. By default it is backward scheduling. If the dates are going in past, today scheduling is done.
5. Source determination: For externally procured materials, you can assign a fixed source (ME01). This vendor is assigned in PR during MRP.
6. BOM explosion: For dependent requirements calculation, system explodes the BOM and plans the materials.
Thanks in advance
Regards
Kalyan

Kalyan,
I do not see a business problem described in your email that I can assist you with.
I suggest you read the standard SAP online help in this area
http://help.sap.com/saphelp_erp60_sp/helpdata/EN/f4/7d27aa44af11d182b40000e829fbfe/frameset.htm
http://help.sap.com/erp2005_ehp_04/helpdata/EN/4c/420d29470a11d1894a0000e8323352/frameset.htm
and associated topics.
Rgds,
DB49

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