Raw materials
Raw materials are the basic goods, materials, and parts that will be used in production/ manufacturing process but have not yet been placed into production.
For example, auto manufacturers such as General Motors, Ford, and DaimlerChrysler use steel, plastics, and tires as raw materials in making cars
Category: Accounting & Auditing
Previous: ← Days in inventory
Next: Gross profit method →
More from this Section
- Convertible bonds
Convertible bonds refer to the bonds that permit bondholders to convert them into common ... - Job cost sheet
An essential accounting record in assigning costs to jobs is a job cost sheet. A job cost ... - Unpaid expenses
Expenses incurred during the year but for which payment has not been made and will have ... - Modified accelerated cost recovery system (MACRS)
Many corporations use straight-line in their financial statements to maximize net income. ... - Direct labor budget
The direct labor budget contains the quantity (hours) and cost to direct necessary to ...