Work-in-Progress Inventory - What is the meaning of work in process inventory?

Q: What is the meaning of work in process inventory?

Work in process (WIP), work in progress (WIP), goods in process, or in-process inventory are a company's partially finished goods waiting for completion and eventual sale or the value of these items. These items are either just being fabricated or waiting for further processing in a queue or a buffer storage.

Answer

Goods that are in the process of being completed and sold or otherwise valued are known as work in progress (WIP), in-process inventory, or work in progress. These things are either in the process of being made or are sitting in a buffer or queue, waiting to be processed further.

Work-in-Progress Inventory - What is the meaning of work in process inventory?

Other useful ERP terms

AI generated suggestions