Macy's (the department store chain)classifies its clothing held for sale as
A)merchandise inventory.
B)raw materials inventory.
C)work in process inventory.
D)finished goods inventory.

Question

Quizplus · Accepted Answer

Macy's classifies its clothing held for sale as merchandise inventory, which is the inventory of goods that a company plans to sell to customers in the ordinary course of business. Raw materials inventory refers to materials used in the production process, work in process inventory refers to partially completed products, and finished goods inventory refers to completed products that are ready for sale.

Macy's (The Department Store Chain)classifies Its Clothing Held for Sale