Boreki enterprise has the following 10 items in inventory. ceo theodore boreki asks you to divide these items into an abc classification:
item annual demand cost/unit
a2 3,000 $50
b8 4,000 $12
c7 1,500 $45
d1 6,000 $10
e9 1,000 $20
f3 500 $500
g2 300 $1,500
h2 600 $20
i5 1,750 $10
j8 2,500 $5
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a) develop an abc classification system for the 10 items.
b) how can boreki use this information?
c) boreki reviews the classification and then places item a2 into the a category. why might he do so?
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