| Inventory | |
 Inventory can be either raw materials, finished items already available for sale, or goods in the process of being manufactured. Inventory is recorded as an asset on a company's balance sheet. |
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 High inventory isn't a good sign because there is a cost associated with storing the extra inventory. |
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 Inventory Valuation For Investors: FIFO and LIFO - We go over these methods of calculating this component of the balance sheet, and how the choice affects the bottom line. Measuring Company Efficiency - We look at a retailer's inventory turnaround times, its receivables as well as its collection period. |
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Related Terms
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