Question: #16 Using the data from Question 15, item P will be classified as: A. A item B. B item C. C item D. None of

#16 Using the data from Question 15, item P will be classified as:

A. A item
B. B item
C. C item
D. None of the above

question 15 is below:

The manager of a furniture manufacturing plant hopes to achieve a better allocation of inventory control efforts by adopting an ABC approach to inventory control. Given the monthly usages listed below, classify the items in A, B, and C categories according to dollar usage. Item T will be classified as:

Item

Usage

Unit Cost

L

50

$1,400

M

100

$10

N

30

$900

P

150

$20

R

9

$1,000

S

90

$100

T

2,000

$10

U

200

$10

W

1,000

$60

A. A item
B. B item
C. C item
D. None of the above

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