ABC Analysis in Inventory Management -
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SOLVED: Given the following inventory information, construct an ABC analysis by annual dollar usage, ABC analysis by current inventory value, and an ABC inventory matrix. Is the firm stocking the correct inventories? Item Item Cost Annual Current Number Inventory () Usage (units) (units) B8867 6 100 8,000 J1252 5.25 6,500 120 K9667 0.14 4,000 1,000 L2425 1 1,500 375 M4554 5.5 2,000 500 T6334 70 500 800 W9856 0.75 800 20,000 X2215 1.5 8,000 2,000 Y3214 32 1,000 500 Y6339 4 3,500 125 Calculate the
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