Using the provided inventory data (see below), conduct an ABC analysis and answer the following questions:

1. What percentage of total inventory value is represented by the A, B, and C categories?
2. Which items should be classified as A, B, and C based on the ABC analysis? What are the respective inventory values and percentages for each category?
3. Based on the ABC analysis, what recommendations would you make to the company regarding inventory management and control?

Inventory Data:

Item Number	Description	Quantity on Hand	Unit Cost
1001	Resistor	5,000	$0.10
1002	Capacitor	2,500	$0.20
1003	Diode	1,000	$0.30
1004	Transistor	750	$0.40
1005	Integrated Circuit	500	$0.50
1006	Connector	250	$0.60
1007	Battery	100	$1.00
1008	LED	50	$1.50

Rubric: