Which of the following statements is true of raw materials?
A) They are categorized as consumer products.
B) They are large capital purchases designed for a long productive life.
C) They are the items that businesses consume on an ongoing basis but don't become part of the final product.
D) They include products used in producing other products.

Question

Quizplus · Accepted Answer

Raw materials are products used in producing other products. They are not categorized as consumer products, and while they may be large capital purchases, they are not necessarily designed for a long productive life. Additionally, raw materials become part of the final product, rather than remaining separate.

Which of the Following Statements Is True of Raw Materials