In the A-B-C Classification of Inventory,C Items Typically Range from 50

question 60

True/False

In the A-B-C classification of inventory,C items typically range from 50 to 60 percent of the number of items,but only 5 to 10 percent of the annual dollar value (ADV).

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Definitions:

Creditor

A creditor is an entity (person or institution) that lends money or extends credit to another entity, expecting repayment in the future.

Contingent Liability

A possible monetary liability that could arise based on the result of an upcoming event.

Estimable

Capable of being estimated or approximated in quantity or degree.

Remote Event

An event or condition with a very low chance of occurring, often considered insignificant in financial forecasting and analysis.