Which of the following costs is not included as inventory on the balance sheet? Raw materials to be used in the manufacturing process. Work in process. Finished goods. Freight-out costs for finished goods sent to retailers. Solution Ans: D) Freight-out costs for finished goods sent to retailers. Inventory includes raw materials, work in process, and finished goods .

1. Which of the following costs is not included as inventory on the balance sheet?
Raw materials to be used in the manufacturing process.
Work in process.
Finished goods.
Freight-out costs for finished goods sent to retailers.
Raw materials to be used in the manufacturing process.
Work in process.
Finished goods.
Freight-out costs for finished goods sent to retailers.
Solution
Ans:
D) Freight-out costs for finished goods sent to retailers.
Inventory includes raw materials, work in process, and finished goods