BUISENESS MANAGEMENT
INVENTORY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which one of the example below is not include under types of inventory?
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raw materials
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Maintenance, Repair, Operating
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Work in progress
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Dependant demand
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Explanation:
Detailed explanation-1: -Take the example of a Car. The car as finished goods is an held produced and held in inventory as independent demand item, while the raw materials and components used in the manufacture of the Finished Goods-Car derives its demand from the demand for the Car and hence is characterized as dependant demand inventory.
Detailed explanation-2: -The answer goes to serial no: 3-Raw Material is not a type of Inventory. Inventory is defined as a stock or store of goods.
Detailed explanation-3: -Change in sales during the year is not a part of the inventory.
Detailed explanation-4: -There are four main types of inventory: raw materials/components, WIP, finished goods and MRO.
There is 1 question to complete.