Tip Top Tailoring Company Has Compiled the Following Data on the Small

Essay

Tip Top Tailoring Company has compiled the following data on the small set of products that comprise its specialty clothing division. Perform an ABC analysis on the data. Which products do you suggest the firm keep the tightest control over? Explain.
$$\begin{array} { | c | c | c | } \hline \text { SKU } & \text { Annual Demand } & \text { Unit Cost } \\\hline \text { A11 } & 1,200 & \$ 350 \\\hline \text { B22 } & 100 & \$ 80 \\\hline \text { C33 } & 4,500 & \$ 50 \\\hline \text { D44 } & 400 & \$ 160 \\\hline \text { E55 } & 35 & \$ 75 \\\hline \text { F66 } & 250 & \$ 70 \\\hline \text { G77 } & 1,000 & \$ 125 \\\hline \text { H88 } & 500 & \$ 25 \\\hline \text { I99 } & 200 & \$ 60 \\\hline\end{array}$$