Given the following inventory information, construct an $($a$)$ ABC analysis by annual dollar usage, $($b$)$ ABC analysis by current inventory value, and $($c$)$ an ABC inventory matrix. Is the firm stocking the correct inventories?

ALSO, Which of the following items are understocked?Assume the following conditions for understock items:

physical inventory $=$ C that have usage $=$ A

physical inventory $=$ C that have usage $=$ B

physical inventory $=$ B that have usage $=$ A