Oakwood Hospital is considering using ABC analysis to classify laboratory SKUS into three categories: those that will be delivered daily from their supplier (Class A items), those that will be controlled using a continuous review system (B items), and those that will be held in a two bin system (C items). The following table shows the annual dollar usage for a sample of eight SKUS. Fill in the blanks for annual dollar usage below. (Enter your responses rounded to the nearest whole number.) SKU Unit Value Demand (units) Annual Dollar Usage 1 $1.10 30,000 $ 2 $0.02 125,000 $ 3 $0.20 65,000 S 4 $0.02 1,100 SA 5 $1.40 150 SA 678 $4.10 900 $ $0.80 350 $ $0.55 80 EA $

MARKETING 2018
19th Edition
ISBN:9780357033753
Author:Pride
Publisher:Pride
Chapter1: An Overview Of Strategic Marketing
Section1.2: Dollar Shave Club: The Company For Men
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Oakwood Hospital is considering using ABC analysis to classify laboratory SKUS into three categories: those that will be delivered daily from their
supplier (Class A items), those that will be controlled using a continuous review system (B items), and those that will be held in a two bin system (C items).
The following table shows the annual dollar usage for a sample of eight SKUS. Fill in the blanks for annual dollar usage below. (Enter your responses
rounded to the nearest whole number.)
SKU Unit Value Demand (units)
Annual
Dollar
Usage
1
$1.10
30,000
$
2
$0.02
125,000
$
3
$0.20
65,000
S
4
$0.02
1,100
SA
5
$1.40
150
SA
678
$4.10
900
$
$0.80
350
$
$0.55
80
EA
$
Transcribed Image Text:Oakwood Hospital is considering using ABC analysis to classify laboratory SKUS into three categories: those that will be delivered daily from their supplier (Class A items), those that will be controlled using a continuous review system (B items), and those that will be held in a two bin system (C items). The following table shows the annual dollar usage for a sample of eight SKUS. Fill in the blanks for annual dollar usage below. (Enter your responses rounded to the nearest whole number.) SKU Unit Value Demand (units) Annual Dollar Usage 1 $1.10 30,000 $ 2 $0.02 125,000 $ 3 $0.20 65,000 S 4 $0.02 1,100 SA 5 $1.40 150 SA 678 $4.10 900 $ $0.80 350 $ $0.55 80 EA $
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