Problem
ABC analysis) Consider the following list of retail items sold in a Greensboro Museum gift shop.
Item
|
Annual Volume
|
Average Profit per Item
|
Greeting Cards
|
3870
|
$0.40
|
T-shirts
|
1550
|
1.25
|
Men's jewelry
|
875
|
4.50
|
Novelty gifts
|
2050
|
12.25
|
Children's clothes
|
575
|
6.85
|
Chocolates cookies
|
7000
|
0.10
|
Earrings
|
1285
|
3.50
|
Other costume jewelry
|
1900
|
15.00
|
For what reason might the store proprietor choose to sell the chocolate cookies even though they might be her least profitable item?