Which Types of Inventories Does a Manufacturing Business Report on the Balance

question 149

Multiple Choice

Which types of inventories does a manufacturing business report on the balance sheet?

• A) finished goods inventory and work in process inventory only
• B) direct materials inventory and work in process inventory only
• C) direct materials inventory, work in process inventory, and finished goods inventory
• D) direct materials inventory and finished goods inventory only

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Definitions:

Commuter Rail

A passenger rail transport service that primarily operates within urban areas, connecting workers to their places of employment.

Positive Correlation

A relationship between two variables where they move in the same direction, meaning when one variable increases, the other also increases, and vice versa.

Slope

In mathematics, the measure of the steepness or incline of a line, often calculated as the ratio between the change in the y-value to the change in the x-value.

Horizontal Line

In geometry and graphing, a straight line that runs left to right (parallel to the x-axis) and has a slope of zero, indicating no change in the y-value across different points on the line.