Assignment #$5-$ Inventory Management

Work from both Chapters $11$ and $12$

Chapter $11$:

$3.$ The Welsh Corporation uses $13$ key components in one of its manufacturing plants. The data are provided below. Perform an ABC analysis. Explain your decisions and logic following in at least a paragraph. Use the data worksheet file under Course Content, chapter $11$ problem $3$ tab to complete. Do not use the ABC template for this problem.

SKU Item Cost Annual Demand

WC$007$ $$0\mathrm{.}90225$

WC$008$ $$1\mathrm{.}2022,500$

WC$219$ $$0\mathrm{.}1513,000$

WC$397$ $$4\mathrm{.}6512,300$

WC$419$ $$0\mathrm{.}456,500$

WC$654$ $$2\mathrm{.}10350$

WC$713$ $$9\mathrm{.}451,500$

WC$887$ $$0\mathrm{.}416,200$

WC$916$ $$3\mathrm{.}25400$

WC$971$ $$7\mathrm{.}502,950$

WC$532$ $$1\mathrm{.}324,650$

WC$413$ $$0\mathrm{.}8616,500$

WC$759$ $$8\mathrm{.}53900$

Chapter $12$:

$2.$ Bragg Johnson, materials manager at Johnson & Sons, has determined that a certain product experienced $3\mathrm{.}8$ turns last year, with an annual sales volume $($at cost$)$ of $$975,000.$ What was the average inventory value for this product last year? What would be the average inventory level if inventory turns could be increased to $6\mathrm{.}0?$