Which of the following is an example of WIP inventory?
A) Waiting to be moved to another process.
B) Currently being worked on at a work center.
C) Lining up at a processing center due to a capacity bottleneck or machine breakdown.
D) All of these choices.
E) None of these choices.

Question

Quizplus · Accepted Answer

WIP inventory refers to items that are in the process of being manufactured or serviced but have not yet been completed. Option A refers to waiting inventory, which is not yet in the process. Option B also refers to WIP inventory, as these items are currently being worked on. Option C refers to a bottleneck or breakdown, which can cause WIP inventory to accumulate. Therefore, all three options represent examples of WIP inventory.

Which of the Following Is an Example of WIP Inventory