The flow of a manufacturer's product costs through the inventory accounts is ________.
A) Work-in-Process Inventory, Cost of Goods Sold, and Finished Goods Inventory
B) Raw Materials Inventory, Cost of Goods Sold, and Finished Goods Inventory
C) Raw Materials Inventory, Finished Goods Inventory, and Work-in-Process Inventory
D) Raw Materials Inventory, Work-in-Process Inventory, and Finished Goods Inventory

Question

Quizplus · Accepted Answer

The correct flow is from Raw Materials Inventory to Work-in-Process Inventory and finally to Finished Goods Inventory before being sold.

The Flow of a Manufacturer's Product Costs Through the Inventory