Question: Given the following inventory information, construct an ( a ) ABC analysis by annual dollar usage, ( b ) ABC analysis by current inventory value,

Given the following inventory information, construct an (a) ABC analysis by annual dollar usage, (b) ABC analysis by current inventory value, and (c) ABC inventory matrix. Is the firm stocking the correct inventories?ITEM NUMBERUNIT COST ($)ANNUAL USAGE (UNITS)CURRENT INVENTORY (UNITS)A96732.0014,500B8866.001008,000C3145.2532115D87912.5054254E5360.05125120F8760.07423500G1120.125001,008H0981.22235750J1255.256,500120K9660.254,0001,000L2421.001,500375M4555.502,000500N0077.2154525P2315.2532300Q9543.2525240T63370.00500800W9850.7580020,000X2211.508,0002,000Y32132.001,000500Z6334.003,500125

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