Richard has in his warehouse some raw materials and finished goods that he has ready to fill customer orders.These are two types of _____.
A)accounts payable.
B)accounts receivable.
C)cost of goods.
D)inventories.

Question

Quizplus · Accepted Answer

Raw materials and finished goods held by Richard in his warehouse are considered inventory. Accounts payable is money that Richard owes to his suppliers, accounts receivable is money that Richard's customers owe to him, and cost of goods is the expense incurred to produce or purchase the inventory.

Richard Has in His Warehouse Some Raw Materials and Finished