Which of the following statements best explains the term inventory?
A) It is the amount and number of raw materials, parts, and finished products that a company has in its possession.
B) It is the amount and number of products or services that a company dispatches to the market annually.
C) It is the capability of a company to produce a set number of products per month.
D) It is the capability of a company to buy raw materials or parts for production processes.

Question

Quizplus · Accepted Answer

Inventory refers to the amount and number of raw materials, parts, and finished products that a company has in its possession.

Which of the Following Statements Best Explains the Term Inventory