Explain abc inventory classification system is true, Operation Management

Assignment Help:

1. Which of the following statements about the ABC inventory classification system is TRUE?

a. This approach is based on an insight established by Adam Smith in The Wealth of Nations. b. A items represent 50 to 60 percent of all the items in inventory and account for 5 to 15 percent of the companys inventory investment.

c. This approach is utilized because not all of the items in a companys inventory are equal and so may require differing levels of control.

d. To establish the classification of items into their groups, the items are first ranked from highest dollar per unit value to lowest


Related Discussions:- Explain abc inventory classification system is true

Explain sarbanes-oxley act promote ethical behaviour, Identify three of the...

Identify three of the criminal penalties that can be charged under the Sarbanes-Oxley Act. How do these sections of the Sarbanes-Oxley Act promote ethical behaviour by corporations

Presume that the market is demanding product, For the four basic configurat...

For the four basic configurations that follow, assume that the market is demanding product that must be processed by both Resource X and Resource Y for Cases I, II and III. For Cas

Explain b2b marketing, Is B2B marketing really any different than B2C marke...

Is B2B marketing really any different than B2C marketing? Many believe that B2B marketing may actually be much more manageable than B2C marketing. How do you feel about that percep

Qn, a firm whether to make or buy a part required in its operation. cost an...

a firm whether to make or buy a part required in its operation. cost and volume estimate are as follows annual fixed cost make $15000 buy none, variable cost make $60 buy $80, annu

Application of operations research, application of operations research in m...

application of operations research in managerial decision making

Constraint Management, Elucidate Theory of Constraints and constraint manag...

Elucidate Theory of Constraints and constraint managment

Explain fabindia''s organizational culture, How would you describe William ...

How would you describe William Bissell's personality? What terminal and instrumental values are likely to have been especially important to him? How would describe Fabindia's organ

MBA-2, What do you understand by"line balancing"?What happens if balance do...

What do you understand by"line balancing"?What happens if balance doesn''t exist?

What are the pros and cons of flexible schedules for staff, What are the pr...

What are the pros and cons of flexible schedules from an employee's perspective?

What are the advantages of using single sourcing strategies, What are the a...

What are the advantages of using single sourcing strategies? Advantages of using Single sourcing: a. Simple to keep relations along with only one supplier b. Simple to

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd