ABC inventory classification schemes divide inventory items into three groupings. What are these groupings usually based upon?
A) Unit cost
B) Lead time
C) Criticality
D) Weight
E) Dollar volume

Question

Quizplus · Accepted Answer

ABC inventory classification is typically based on dollar volume, where items are categorized into A, B, and C classes based on their annual consumption value, with A being the highest.

ABC Inventory Classification Schemes Divide Inventory Items into Three Groupings