Wellfix Corporation manufactures electric toasters and sells them to retail appliance stores. Which of the following statements is true?

Question

Quizplus · Accepted Answer

The toasters are considered inventory in the hands of Wellfix, as they are products that the company has made but has not yet sold. Once the appliance stores purchase the toasters from Wellfix, they would be considered equipment in the hands of the stores. Consumer goods refer to products that are sold directly to the end consumer, which may or may not be the case for Wellfix's toasters depending on their distribution channels.

Wellfix Corporation Manufactures Electric Toasters and Sells Them to Retail