All EXCEPT Which of the Following Statements About ABC Analysis

question 4

Multiple Choice

All EXCEPT which of the following statements about ABC analysis are true?

• A)In ABC analysis,inventory may be categorized by measures other than dollar volume.
• B)ABC analysis categorizes on-hand inventory into three groups based on annual dollar volume.
• C)ABC analysis is an application of the Pareto principle.
• D)ABC analysis suggests that all items require the same high degree of control.
• E)ABC analysis suggests that there are the critical few and the trivial many inventory items.

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Definitions:

Substance Addiction

A chronic condition characterized by the compulsive use of substances despite harmful consequences, leading to mental and physical dependence.

Substance Abuse

The harmful or hazardous use of psychoactive substances, including alcohol and illicit drugs, leading to addiction or dependency.

Recreational Use

The use of substances such as drugs, alcohol, or marijuana for pleasure or leisure purposes rather than for medical reasons.

Lorazepam

A medication used to treat anxiety disorders, oftentimes acting as a sedative and muscle relaxant, part of a class of substances known as benzodiazepines.