Types of Inventory MCQ (Multiple Choice Questions) PDF Download

The budget sales, plus target ending finished goods inventory, minus beginning finished goods inventory is equal to

1. budget production
2. planned production
3. setup production
4. stand by production

An inventory, which consists of partially worked goods is called

1. direct materials inventory
2. work in process inventory
3. finished goods inventory
4. indirect material inventory

The inventory of the final goods that are not yet sold is called

1. finished goods inventory
2. indirect material inventory
3. direct materials inventory
4. work in process inventory

An inventory which consists of stock waiting to be used In the process of manufacturing is known as

1. finished goods inventory
2. indirect material inventory
3. direct materials inventory
4. work in process inventory

In cost accounting, the types of inventory do not include

1. direct materials inventory
2. work in process inventory
3. finished goods inventory
4. indirect material inventory