<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px 0px 25px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">What does the ABC analysis stand for?<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px 0px 25px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">ABC analysis is a method used for inventory categorisation. Also, it is used for prioritising problems, tasks, products or activities. In summary, ABC analysis involves placing inventory in categories according to benefit and use.<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px 0px 25px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">As a tool from Controlling, ABC analysis is particularly suitable for preparing decisions on business management issues. It can seen from three segments such as:<ul style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);box-sizing:border-box;color:rgb(0, 0, 0);font-family:Poppins, sans-serif;font-size:16px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;margin-bottom:30px;margin-right:0px;margin-top:0px;orphans:2;padding:0px;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;"><li style="box-sizing:border-box;color:rgb(45, 57, 88);font-size:18px;font-weight:400;line-height:28.8px;list-style:none;margin-bottom:5px;margin-right:0px;margin-top:0px;padding:0px 0px 0px 23px;position:relative;">A-certificates (very important)</li><li style="box-sizing:border-box;color:rgb(45, 57, 88);font-size:18px;font-weight:400;line-height:28.8px;list-style:none;margin-bottom:5px;margin-right:0px;margin-top:0px;padding:0px 0px 0px 23px;position:relative;">B-certificates (important)</li><li style="box-sizing:border-box;color:rgb(45, 57, 88);font-size:18px;font-weight:400;line-height:28.8px;list-style:none;padding:0px 0px 0px 23px;position:relative;">C-certificates (less important)</li></ul><p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">The idea behind the ABC analysis is that even a small amount of resources can make a large contribution to success, if it is done in the right place.

ABC Analysis

<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px 0px 25px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">What is Account Payable?<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">When a company or an individual buys goods or services on credit, they create a short-term debt payment that needs to be paid within a limited period of time. This is considered a current liability because the creditor it’s not paid upfront.

Account Payable (A/P)

<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px 0px 25px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">What is Account Receivable?<p style="-webkit-text-stroke-width:0px;background-color:rgb(255, 255, 255);color:rgb(45, 57, 88);font-family:Poppins, sans-serif;font-size:18px;font-style:normal;font-variant-caps:normal;font-variant-ligatures:normal;font-weight:400;letter-spacing:normal;line-height:28.8px;margin:0px;orphans:2;text-align:start;text-decoration-color:initial;text-decoration-style:initial;text-decoration-thickness:initial;text-indent:0px;text-transform:none;white-space:normal;widows:2;word-spacing:0px;">Accounts receivable is the payment due to a company for goods or services delivered or used by its customer but yet to be paid. In short, account receivable is any amount of money owed by customers for good bought on credit. At the end of each fiscal year, the company records accounts receivable as a current asset on the balance sheet.

Account Receivable (A/R)

BAccount Receivable (A/R)

What does the ABC analysis stand for?ABC analysis is a method used for inventory categorisation. Also, it is used for prioritising problems, tasks, products or activities. In summary, ABC analysis involves placing inventory in categories according to benefit and use.As a tool from Controlling, ABC analysis is particularly suitable for preparing decisions on business management issues. It can seen from three segments such as:<ul><li>A-certificates (very important)</li><li>B-certificates (important)</li><li>C-certificates (less important)</li></ul>The idea behind the ABC analysis is that even a small amount of resources can make a large contribution to success, if it is done in the right place.

Logistics Glossary