____ inventory includes the items used to support production and operations.
A) Raw materials and semifinished items
B) WIP
C) Finished-goods
D) MRO
E) Pipeline/in-transit

Question

Quizplus · Accepted Answer

MRO (Maintenance, Repair, and Operating) inventory includes items such as tools, spare parts, and supplies used to support production and operations, but are not directly used in the production of the final product. Raw materials and semifinished items (A) are used directly in production, while WIP (B) includes goods that are in the process of being manufactured but are not yet finished. Finished-goods inventory (C) includes the completed products ready for sale. Pipeline/in-transit inventory (E) refers to goods that are currently in transit between locations and have not yet reached their destination.

____ Inventory Includes the Items Used to Support Production and Operations