Inventory which is partially complete is known as:

• A. Finished goods inventory
• B. Merchandise inventory
• C. Work-in-process inventory
• D. Raw materials inventory

Answer: (C)

Verified step by step guidance

1. Understand the concept of inventory: Inventory refers to the goods and materials that a business holds for the purpose of resale or production. It is classified into different categories based on its stage in the production process.
2. Learn about the types of inventory: The main types of inventory include raw materials inventory (materials used to produce goods), work-in-process inventory (partially completed goods), finished goods inventory (completed goods ready for sale), and merchandise inventory (goods purchased for resale).
3. Focus on work-in-process inventory: Work-in-process inventory refers to goods that are in the middle of the production process. These items are not yet finished but have undergone some level of transformation from raw materials.
4. Compare work-in-process inventory with other types: Unlike raw materials inventory, which consists of unprocessed materials, and finished goods inventory, which includes completed products, work-in-process inventory represents items that are partially complete. Merchandise inventory, on the other hand, applies to businesses that purchase goods for resale rather than manufacturing them.
5. Apply the concept to the question: Based on the definitions, inventory that is partially complete aligns with the description of work-in-process inventory. This is the correct classification for goods that are in the production process but not yet finished.