Consider the following statements.
1. Inventory includes raw material, finished goods and goods in process.
2. Inventory is the part of working capital.
3. Inventory includes goods likely to be purchased in the coming months.
Which of the statements given above are correct?

Consider the following statements.
1. Inventory includes raw material, finished goods and goods in process.
2. Inventory is the part of working capital.
3. Inventory includes goods likely to be purchased in the coming months.
Which of the statements given above are correct? Correct Answer Both 1 and 2

Bissoy MCQ

Related Questions

Which of the following statements are correct?
I. Inventory includes raw materials, finished goods and work-in-progress.
II. Inventory is a part of the working capital.
III. Inventory includes goods likely to be purchased.
Raw material purchased:
1st January, 600 units @ Rs. 12 per unit
12th January, 500 units @ Rs. 14 per unit
21st January, 300 units @ Rs. 13 per unit
Raw material issued for manufacture:
3rd January 300 units
5th January 124 units
15th January 250 units
16th January 300 units
Raw material returned to stores from manufacturing department on 14th January, 50 units. The material is issued on First-in-First out method.
The value of material remaining in store on 21st January will be:
John, Jack, Joseph and Jordan participated in a running race. Only the winner finished the race in 10 minutes. Which two pieces of information can tell you who the winner was? (i) John finished the race in 16 minutes . (ii) Joseph finished the race earlier than Jack by 2 minutes. (iii) Jack finished the race later than Jordan by 4 minutes. (iv) Jordan finished the race earlier than John by 6 minutes. (v) John finished the race later than Joseph by minutes.
Statement : One of the problems facing the food processing industry is the irregular supply of raw material. The producers of raw material are not getting a reasonable price.

Courses of Action :
I. The government should regulate the supply of raw material to other industries also.
II. The government should announce an attractive package to ensure regular supply of raw material for food processing industry.
The price of raw materials has gone up by 15%, labor cost has also increased from 25% of the cost of raw material to 30% of the cost of raw material. By how much percentage should there be reduction in the usage of raw materials so as to keep the cost same?
Budget sales, plus target ending finished goods inventory, minus beginning finished goods inventory is equal to
AT Co makes a single product and is preparing its material usage budget for next year Each unit of product requires 2kg of material, and 5,000 units of product are to be produced next year Opening inventory of material is budgeted to be 800 kg and AT co budgets to increase material inventory at the end of next year by 20%.The material usage budget for next year is
In the following passage some of the words have been left out. Read the passage carefully and select the correct answer for the given blank out of the four alternatives. In view of last year's H1N1 attack and prevailing ________________ weather conditions, the health department officials _______________ that the virus will turn more active by January end. In-charge, Integrated Disease ________________ Programme (IDSP), Dr Shah, said, "Virus is still active, but not in a major way. In coming months, it is likely to become more active. Last year too, virus had claimed lives in January and February. Therefore, we are _____________ as coming months might _________________ a challenge."
coming months might _________________ a challenge."
The price of raw meterials had gone up by 15% labor cost has also increased from 25% of the cost of ras material to 30% of the cost of raw material. By how much percentage should there be reduction in the usage of raw materials so as to keep the cost same?
Which of the following statements are true/false?
1. Consumption goods include all the goods that can be purchased with the income that an individual earns from working.
2. The individual is limited to twenty hours per day for work.
3. Leisure goods are the goods that individuals consume when they are not working.
4. The individual's income from work is limited by the market wage that individual receives for his or her labour skills.