A manufacturing concern would report the cost of units only partially processed as inventory in the statement of financial position.

Question

Quizplus · Accepted Answer

This is because the units only partially processed, also known as work-in-process (WIP) inventory, have not yet been completed and therefore cannot be sold or transferred out of the factory. They are considered an asset of the company until they are finished and ready for sale.

A Manufacturing Concern Would Report the Cost of Units Only