Name: Arpita Sahu

Student No:425409

Booker’s Book Bindery divides SKUs into three classes, according to their dollar usage.

Calculate the usage values of the following SKUs and determine which is most likely to be classified as
class A.

SKU Dollar Cumulative Cumulati

Qty used/ Pct of
Value(in $) usage (in % of dolar ve % of Class
Year total
$) value SKU
number

7 150000 0.45 67500 83.02 83.02 14.3 A

3 10000 0.75 7500 9.22 92.24 28.6 B

4 75 40 3000 3.69 95.93 42.9 B

1 500 3 1500 1.84 97.77 57.1 C

5 20000 0.05 1000 1.23 99.00 71.4 C

6 3000 0.15 450 0.55 99.56 85.7 C

2 18000 0.02 360 0.44 100.00 100.0 C

Total in $ 81310
1. Class A :SKU No 7(Signatures) accounts for 83 % of dollar values for 14.4 % of SKU number

2. Class B : SKU No 3 & 4(Cover stock & glue ) accounts for 13 % of dollar vales for 28.8 % of SKU number

2. Class C :SKU No 1,2,5,6,(Boxes, cardboard, inside covers, reinforcing tapes ) accounts for 4% of dollar values for
56.8 % of SKU numbers