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ENTERED USAGE VALUE RANKING POLICY

ABC Inventory Classification Calculator

Rank items by annual usage value and assign ABC classes using explicit cumulative-before-group thresholds and tie handling.

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Result

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Calculation steps

Work through one step at a time or reveal the complete calculation. The steps use your current inputs.

    How to calculate

    Sort annual quantity times unit cost and classify same-value groups by the cumulative value share before each group.

    Annual usage value=annual quantity×unit cost; cumulative shares determine entered-policy classes

    Worked example

    Usage values 1000,500,200,100 total 1800. With boundaries 80% and 95%, the first two are class A under this cumulative-before policy, the third B and the fourth B; crossing items remain in their starting class.

    Assumptions and input details

    1–200 unique items with nonnegative annual quantities/unit costs and positive total usage value. This tool’s policy uses cumulative share before each equal-value group, keeping ties together; actual class proportions can exceed thresholds, even substantially. Zero-value items are C. No universal ABC boundary, reorder rule, service-level target or purchasing recommendation is inferred. Use one currency and consistent annual quantities.

    Using this calculator

    Can I enter my own problem?

    Yes. Replace the example values with your own inputs. The result, calculation steps, tables and applicable diagrams update from those inputs. Blank or invalid values clear the result; example values are never silently substituted for missing inputs.

    Are the results exact?

    Results use floating-point arithmetic and displayed rounding. Read the formula, assumptions and any stated data precision before interpreting the result.

    Is my input uploaded?

    The calculation runs in your browser. No account, file upload or external AI service is required. Inputs are not saved between page reloads.

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