Describe the three types of inventory of a manufacturing company.

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Answer 1

Textbook Question

Chapter 8, Problem 8.1Q

Describe the three types of inventory of a manufacturing company.

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

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Problem No. 3 The business assets of Glea Yares and Eunice Alico appear below: Yares Alico Cash P 10,000 P 25,000 Accounts Receivable 245,000 565,000 Inventories 122,000 260,000 Land 664,000 Building 938,000 Furniture and Fixtures Total 87,000 P1,128,000 36,000 P1,824,000 000,00 000,000 19 000,008 Account Payable Notes Payable P 178,000 200,000 Yare, Capital diw 750,000 P 245,000 345,000 adi to omen Alicol, Capital Total P1,128,000 1,234,000 P1,824,000 On March 5, 2025, Yares and Alico agreed to form a partnership contributing their assets and equities subject to the following adjustments: qining arboj su to nam a. Accounts receivable of P15,000 in Yares' books and P30,000 in Alico's are uncollectible. b. Inventories of P5,500 and P6,500 are worthless in Yares' and Alico's respective books. Required: 1. In the books of Yares, prepare the necessary journal entries: a. To record the adjustments to Yares' assets b. To close the books of Yares of viande no 251qgque oroa snemu ni 2. In the…

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Answer 2

Textbook Question

Chapter 8, Problem 8.1Q

Describe the three types of inventory of a manufacturing company.

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

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Answer 3

Textbook Question

Chapter 8, Problem 8.1Q

Describe the three types of inventory of a manufacturing company.

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

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Answer 4

Textbook Question

Chapter 8, Problem 8.1Q

Describe the three types of inventory of a manufacturing company.

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

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Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

Answer 8

Expert Solution & Answer

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

Inventory: It refers to the current assets that a company expects to sell during the normal course of business operations, the goods that are under process to be completed for future sale, or currently used for producing goods to be sold in the market.

To describe: the three types of inventory of a manufacturing company.

Answer 12

Explanation of Solution

The three types of inventory of a manufacturing company are:

Raw Materials: It refers to the cost of the materials that are purchased from the suppliers to be converted into the goods ready for sale in the market.
Work-in-process inventory: It refers to the goods that are yet to be completed to make it ready for sale. The cost of such inventory includes the cost of the raw materials, the cost of the labor, and other costs associated with the production to make the goods completed.
Finished goods: It refers to the goods that are completed but are yet to be sold in the market. The cost of such goods includes the cost of raw materials and the cost of work-in-process inventory used in the production.

Answer 13

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Describe the three types of inventory of a manufacturing company.

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