Answer Posted / subhash surolia

ABC analysis is the method to maitain optimum inventory
first of all we have devide the inventory in three catagory
first A then B and C

In First catagory we have selected 10% item which item which
covering to 70% of total value of inventory

In second catagory we have selected 20% item which item
coverign to 20% of total value of Inventory

and third catagory we have selected 70% item which item
covering to 10% of toal value of inventory

Then we will analysis the inventory accordingly

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