Which of the Following Is a Difference Between Component Parts

question 60

Multiple Choice

Which of the following is a difference between component parts inventories and work-in-process inventories?

• A) Unlike component parts inventories, work-in-process inventories include goods that are sent to distribution centers.
• B) Raw materials are fabricated or processed into component parts inventories, whereas work-in-process inventories are a result of the assembly of component parts.
• C) The process involved in creating work-in-process inventories is also known as initial assembly, whereas the process involved in creating component parts inventories is also known as final assembly.
• D) Unlike component parts inventories, work-in-process inventories can be purchased from vendors.