Which of the following statements concerning ABC analysis is false?
A)Class B items typically account for 20 percent of the company's business in dollars.
B)There are typically less class A items in stock than class B.
C)Class C items typically account for 70 percent of the company's inventory items.
D)Class C items tend to have more complex inventory policies than Class B items.

Question

Quizplus · Accepted Answer

Class C items are typically low-value, low-priority items that do not require complex inventory policies, while Class B items are medium-value, medium-priority items that may require more attention. Therefore, statement D is false.

Which of the Following Statements Concerning ABC Analysis Is False