In a manufacturing firm,which inventory account is NOT used?
A) Raw Materials Inventory
B) Work-In-Process Inventory
C) Finished Goods Inventory
D) Merchandise Inventory

Question

Quizplus · Accepted Answer

Merchandise inventory is only used in retail or wholesale businesses that buy and sell already finished goods. A manufacturing firm produces their own goods from raw materials and therefore does not have merchandise inventory.

In a Manufacturing Firm,which Inventory Account Is NOT Used