ECONOMICS

Detailed explanation-1: -What is Finished Goods Inventory? Finished goods are goods that have been completed by the manufacturing process, or purchased in a completed form, but which have not yet been sold to customers. Goods that have been purchased in completed form are known as merchandise.

Detailed explanation-2: -Finished goods is a category of inventory unique to manufacturing businesses. They are products that have completed the manufacturing process but have not yet been sold or distributed to vendors or retailers.

Detailed explanation-3: -Finished goods are products that have passed or completed the manufacturing process, but are not yet sold or distributed to the final consumer. When the product gets to the end users, the processing of goods is then at the final stage.

Detailed explanation-4: -Items purchased as “raw materials” are used to produce finished goods.

Detailed explanation-5: -Finished goods inventory Finished goods inventory comprises all the items that make it through the entire production process and are considered finalized products. These products have been inspected and are ready to be sold.