Company XYZ manufactures picture frames in bulk. The manufacturing process involves cutting out a wooden frame and backing, cutting a glass front for the frame, and then gluing the pieces together. In this process, the glue is considered what type of material?
A)Work in process
B)Finished good
C)Raw material
D)Intermediate material

Question

Quizplus · Accepted Answer

The glue that is used is a raw material in this manufacturing process since it is one of the components that exist before the company adds value to their product.
Key Takeaway: Raw materials, such as the glue or glass in the example above, consist of components that are not yet transformed by the company into other products. Raw materials can include items such as steel, fabric, or other materials that are often used in the manufacturing processes. Additionally, what is considered a raw material for one company might be the finished product for another. For example, the glue used to make the picture frames is a finished product for the glue manufacturer but is a raw material for the picture frame manufacturer.

Company XYZ Manufactures Picture Frames in Bulk