ABC Inventory Classification Practice Questions
Instructions: For each problem, calculate Annual Usage Value (Annual Demand × Unit Price),
rank items in descending order, find cumulative % of total value, and classify into A, B, C
categories. Do not compute answers here—questions only.
Q1. Perform an ABC classification of the following items:
Item Annual Demand (units) Unit Price ($)
A 500 20
B 800 5
C 300 50
D 1,200 2
E 150 100
F 700 8
Q2. Perform an ABC classification of the following items:
Item Annual Demand Unit Cost ($)
P1 400 60
P2 2,000 15
P3 300 100
P4 1,500 10
P5 250 120
P6 1,000 25
Q3. Perform an ABC classification of the following items:
Item Annual Usage (units) Unit Price ($)
X 1,000 40
Y 500 90
Z 800 15
W 200 200
V 1,500 5
U 400 70
Q4. Perform an ABC classification of the following items:
Item Annual Demand Price per Unit ($)
C1 2,000 12
C2 500 100
C3 1,200 20
C4 150 150
C5 2,500 5
C6 300 80
Q5. Perform an ABC classification of the following items:
Item Annual Demand Unit Price ($)
M1 1,000 25
M2 2,000 8
M3 400 200
M4 600 50
M5 300 120
M6 1,500 10