Question

The balance in the work-in-process inventory account at any point in time equals what?

a) Cost of goods sold
b) Raw materials used
c) Finished goods inventory
d) Operating expenses

Answer 1

The balance in the work-in-process inventory account at any point in time equals the cost of goods manufactured.

Step-by-step explanation:

The balance in the work-in-process inventory account at any point in time equals the cost of goods manufactured. Work-in-process inventory represents the value of partially completed goods that are still in the production process. It includes the cost of direct materials, direct labor, and manufacturing overhead that have been incurred.

For example, if a company has a work-in-process inventory balance of $10,000, it means that $10,000 worth of goods are still being produced and have not yet reached the finished goods inventory stage.

Therefore, the correct answer to the question is: b) Raw materials used