Boreki Enterprise has the following 10 items in inventory. Theodore Boreki asks you, a recent OM graduate, to divide these items into ABC classifications. Fill in the blanks and then answer the following questions. (Round dollar volume to the nearest whole number and percentage of dollar volume to two decimal places.) Item Annual Demand Cost/Unit Dollar Volume % of Total Dollar Volume A2 250 20 5000 .58 B8 4000 12 48,000 5.56 C7 1500 45 67,500 7.81 D1 150 2000 300000 34.72 E9 1000 20 20,000 2.31 F3 60 150 9,000 1.04 G2 200 1500 300,000 34.72 H2 600 20 12,000 1.39 15 300 J8 2500 300 5 90,000 12,500 10.42 1.45 For the following two questions consider only items A2 and F3 for relative classification (these are some of the items for which you computed the metrics). Based on the percentages of dollar volume, item A2 should be classified as B C с A

Boreki Enterprise has the following 10 items in inventory. Theodore Boreki asks you, a recent OM graduate, to divide these items into ABC classifications. Fill in the blanks and then answer the following questions. (Round dollar volume to the nearest whole number and percentage of dollar volume to two decimal places.) Item Annual Demand Cost/Unit Dollar Volume % of Total Dollar Volume A2 250 20 5000 .58 B8 4000 12 48,000 5.56 C7 1500 45 67,500 7.81 D1 150 2000 300000 34.72 E9 1000 20 20,000 2.31 F3 60 150 9,000 1.04 G2 200 1500 300,000 34.72 H2 600 20 12,000 1.39 15 300 J8 2500 300 5 90,000 12,500 10.42 1.45 For the following two questions consider only items A2 and F3 for relative classification (these are some of the items for which you computed the metrics). Based on the percentages of dollar volume, item A2 should be classified as B C с A

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Chapter16: Lean Supply Chain Management

Section: Chapter Questions

Problem 10DQ: The chapter presented various approaches for the control of inventory investment. Discuss three...

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