Goods In Process
An inventory account that is usually identified on the balance sheets of manufacturing companies. Goods in process relates to the partially completed goods that are somewhere in the manufacturing process and are not ready for sale. It is calculated as:
Also known as "work in process". Investopedia Says:
Goods in process is one of three manufacturing inventory classifications. It is found in between raw materials and finished goods. Goods in process differs from raw materials because it also includes some labor and overhead.
Related Terms:
Balance Sheet
Cost Of Goods Sold - COGS
Generally Accepted Accounting Principles - GAAP
Inventory
Overhead
Raw Materials |