David Alexander has compiled the following table of six items in inventory at Angelo Products, along with the unit cost and the annual demand in units:
Identification
Code Unit Cost ($)
Annual
Demand (units)
XX1 5.84 1,200
B66 5.40 1,110
3CPO 1.12 896
33CP 74.54 1,104
R2D2 2.00 1,110
RMS 2.08 961
Use ABC analysis to determine which item(s) should be carefully controlled using a quantitative inventory technique and which item(s) should not be closely controlled.