Which of the following items is NEVER relevant to the cost flows of a service organization?
A)finished goods inventory
B)materials inventory
C)work-in-process inventory
D)all of the above are always relevant.

Question

Quizplus · Accepted Answer

Finished goods inventory is never relevant to the cost flows of a service organization as they do not produce tangible goods to sell. Materials inventory and work-in-process inventory may be relevant depending on the type of service that the organization provides.

Which of the Following Items Is NEVER Relevant to the Cost