Answer / dinesh

Always Better Control

ABC classification for control purpose only
You keep your inventory/stock in 3 categories

A = High Value Low Quantity (Strict Control)
B = Middle Value Middle Quantity (Middle Control)
C = Low Value High Quantity (Low Control)

Answer / s. vijaya kumar

Mr.Dinesh Answer is always correct.

But In-practise most of the companies are used to
ABCAnalysis not only Classification of NEW goods but also
used to controled for secondary goods.

They are also used to defective goods for find out
unuseless goods. in this practise A value goods is fully
rejected, B value goods use to verious steps for
reconditioning, and C value goods are not a wast, they are
put some cost and use it again

S.Vijaya Kumar M.Com

So ABC Analysis also used to find out defective goods in
practise

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