A company completes \$7,000 worth of inventory. How should this be recorded?

• A. Debit Finished Goods Inventory \$7,000; Credit Raw Materials Inventory \$7,000
• B. Debit Finished Goods Inventory \$7,000; Credit Work in Process Inventory \$7,000
• C. Debit Raw Materials Inventory \$7,000; Credit Finished Goods Inventory \$7,000
• D. Debit Work in Process Inventory \$7,000; Credit Finished Goods Inventory \$7,000

Answer: (B)