Inputs and planning rule
Use usage from the same full year and count unit, and one illustrative cost unit throughout. Annual usage value is supplied annual units×illustrative unit cost. Rank descending and keep equal-value items together. Class uses cumulative percentage before each tied group: below cutoff A goes A, below cutoff B goes B, otherwise C. Cutoffs are supplied choices, not universal inventory policy.
Worked example
| Item | Annual units | Unit cost | Usage value | Class |
|---|---|---|---|---|
| A | 100 | 6 | 600 | A |
| B | 20 | 10 | 200 | B |
| C | 50 | 2 | 100 | C |
| D | 10 | 10 | 100 | C |
What classes result from usage values 500,250,250 at the same cutoffs?
Show the worked answer
All go A. The first group starts at 0%; the tied 250 group starts at 50%, still below 60%. Actual A share is 100%; do not pretend the requested 60% was attained exactly.
When the result is held
Use distinct labels,1–40 item rows and0<A<B<100. Costs allow two decimals and annual units are whole, both bounded at 1,000,000. All-zero values establish no share denominator or classification. Known zero-value items remain visible as C when positive value exists. Unknown costs, negative values and duplicate labels are held. Use usage from the same full year and count unit, with one common illustrative cost unit; numeric fields do not identify periods or currencies. Classes do not automatically set count frequency, profitability or purchase priority.