0th level spells still bothers me.
Also, how I would handle this in an actual session is that Locate Object could be used on a single item in the bag, or the bag itself. But not the individual items.
Now you might think that you could just premptively just cast it on the items individually, but since Locate Object is a concentration spell, you can only track one item at a time.
What you could do is introduce the item types a step at a time.