Which of the Following Statements About ABC Analysis Is False

question 87

Multiple Choice

Which of the following statements about ABC analysis is false?

• A) ABC analysis is based on the presumption that controlling the few most important items produces the vast majority of inventory savings.
• B) In ABC analysis, "A" Items are tightly controlled, have accurate records, and receive regular review by major decision makers.
• C) In ABC analysis, "C" Items have minimal records, periodic review, and simple controls.
• D) ABC analysis is based on the presumption that all items must be tightly controlled to produce important cost savings.
• E) In ABC analysis, "B" items are not as tightly controlled as "A" items.

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Definitions:

Manic Episode

A period of unusually elevated or irritable mood, energy levels, and activity, often associated with bipolar disorder.

Mental Control

The ability to regulate one's thoughts, feelings, and actions through cognitive processes.

Psychotic Break

A severe mental disturbance characterized by a disconnection from reality, which can include hallucinations, delusions, or disordered thinking.

Major Depressive Disorder

A mental health disorder characterized by persistent feelings of sadness, lack of interest in activities, and a range of emotional and physical symptoms.