Question

Which are Non-Inventory items that you would create in your accounting software? (Select all that apply)

a. Expenses billed directly to client
b. Office supplies used
c. Items used to create a good/service
d. Inventory sold directly to the consumer

Answer 1

Non-inventory items that you would create in your accounting software include expenses billed directly to client, office supplies used, and items used to create a good/service.

Step-by-step explanation:

Non-inventory items that you would create in your accounting software include:

1. Expenses billed directly to client: These are costs incurred by the business that are directly billed to a client, such as consulting fees or advertising expenses.
2. Office supplies used: These are supplies used within the business, such as pens, paper, or printer ink.
3. Items used to create a good/service: These are materials or components used in the production process, such as raw materials for manufacturing or software for a software development company.

Inventory sold directly to the consumer is not considered a non-inventory item, as it is part of the inventory that a business has produced but has not yet sold to consumers.