Any material or good in anyone custody for performing activities is known as inventory. Inventory in business of furniture or electronics or else is placed for resale purpose. Inventory is in different forms that is tangible, intangible, eatables or etc.

Warehouse Lending

Warehouse lending is an example of line of credit. This line of credit is extended by a financial institution to the loan issuer or loan originator. The main objective of this line of credit is that the loan originator must fund the mortgage that

Warehouse Financing

Warehouse financing is a type of financing where the loan is sanctioned to the manufactures and business owners on the basis of their inventory. This means the goods and the commodities in the inventory of the manufacturers are used as collateral for trust in

Indirect Materials

Indirect materials can be referred as materials that are used in the production and manufacturing process of a business but cannot be related directly to any product or some specific job within the business. They are not as worthy as to be counted in

Goods in Transit

Goods in transit can be defined as the merchandise and the goods or the inventory that have been dispatched from the shipping dock of the seller but yet not received at the shipping dock of the buyer. Both the seller and receiver must record

Driving Inventory Balance

Sometimes a business doesn’t have exact inventory balance or inventory level at a certain period of time. In such cases the inventory balance can be derived by using current liabilities, current asset and the quick ratio kind of financial figures. While calculating the quick

Reorder Level

Reorder Level is a term related to refilling the inventory. It is the level where a business, company or firm should order for a new purchase or start manufacturing a new batch to replenish their inventory as it has reached a critical level. If

Consigned Stock

A consigned stock is a stock that is legally owned by one company but physically kept by another company. The profit, loss, risks and rewards associated with the consigned stock are owned by the first party that is legal owner of the consigned stock.

Obsolete Inventory Percentage

The obsolete inventory is a percentage that is important for the firms and companies that have invested significantly in their inventory. This percentage helps the business to identify the percentage of inventory that is no more useable or have become obsolete. This percentage is

Just In Time Inventory

Just In Time Inventory or JIT is an inventory management system in which inventory is updated or products are produced or manufactured only when the demand requires that. With the help of Just in time inventory management concept the controller, manufacturer and the supplier

Inventory Accuracy

In order to maintain systems that meet the customer demand, customer fulfillment and production a company needs to have hundred percent accurate inventory records. In order to have an idea of accurate records of the inventory we need to have following information in hand.

Beginning Inventory Explained

Beginning Inventory can be defined as the recorded cost of the inventory at the beginning of every accounting period. In other words beginning inventory can be defined as the cost of ending inventory of the end of the preceding accounting period that is directly
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