Types of Stock Inventory Homework Help

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Types of Stock Inventory Homework Help Manual To Easily Understand the Concepts!

There are different types of stock inventory in accounting. Stock or inventory is the materials or goods that a business organization keeps with the goals for the purpose of repair or resale of those stored goods. Basically raw materials, finished products or incomplete products which are kept as business’s asset will be sold. There are various types of stock inventory homework help which are provided by us at myhomeworkhelp.com for students in order to make everything easy.

Types of Stock Inventory

Business is of mainly three types like merchandising or trading, service, and manufacturing. Service can’t have inventory. On the nature of business, inventory can be categorized as Manufacturing and Merchandising inventory. In merchandising inventory consists of goods held by traders.

Manufacturing Inventory is goods which help, in order to manufacture a product or sell goods. On the basis of the product’s completion level, it can be categorised as into three different types: finished goods, unfinished goods, and raw materials. Types of stock inventory homework help manual explain this in detail.

Raw Materials

Raw materials are the things or goods which are purchased by manufacturers. The process of manufacturing is applicable in order to turn the raw material into finished goods. Many examples can be used to understand this properly like from aluminum scraps, aluminum ingots are made, or bread is made from flour. So flour here is the raw material. Sometimes a finished good for one manufacturer can be raw material for another. Like utensils are made from an aluminum ingot.

The main reason of keeping raw materials stocked as to keep the process of production going on. This helps to supply whatever the demand is. Types of stock inventory assignment help assists with more examples for students to understand better.

Unfinished Goods

These goods are not finished products but are just partly finished from raw materials. This can be sold as semi-finished goods or maybe later made into a finished product. This inventory cannot be avoided and will be seen in any manufacturing company. The goal of a company is to keep this as low as possible. These can also help in gaining better return if a proper planning is done for these unfinished goods.

Finished Goods

These goods are final products which the manufacturer was attempting to produce from raw materials. These are the ones which are sold in markets.This is the main goal of a manufacturing company, making a finished product which was desired from raw materials. Types of stock inventory assignment help manual explain this process in detail and simplified way.

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