White Belt - Assignment II

What does inventory refer to in a business context?

• A)Stock items/Products held by a business to produce/sell products in the market

• B)The accounts payable of a business

• C)The cash reserves of a business

• D)None of the above

How is inventory classified for a manufacturer of bottled water?

• A) Only raw materials

• B) Only Finished products

• C) Only semi-finished products

• D) Raw materials, semi-finished products, and finished products

What is meant by 'Opening Stock' in inventory management?

• A) The total stock sold during a period

• B) The quantity of inventory at the end of an accounting period

• C) The quantity of inventory at the beginning of an accounting period

• D) The value of stock sold

In the context of inventory, what does the term ‘Unit of Measurement’ refer to?

• A) The cost of each unit sold

• B) The form in which inventory is measured (e.g., cases, bottles, litres)

• C) The number of items in the opening stock

• D) The total value of the stock at the end of the period

If a business buys 20 cases of water, with each case containing 20 bottles, how many bottles of water does the business have in total?

• A) 800 bottles

• B) 400 Bottles

• C) 700 Bottles

• D) 40 Bottles

What is meant by the term ‘Closing Stock’?

• A) The stock sold during the period

• B)The stock that is expected to be sold in the next period

• C) The cost of stock at the beginning of the period

• D) The stock at the end of an accounting period

What is inventory considered in a business?

• A) Asset

• B) Liability

• C)Profit

• D)Income

Which industry does not sell inventory?

• A) Agricultural industry

• B) Service industry

• C) Retail industry

• D) Manufacturing industry

Let's assume a business is selling bottled water. On the first day of the business, there is no inventory. The business purchases 20 cases of water, with each case containing 20 bottles. Each bottle holds 0.5 litres of water. At the end of the day, the business hasn’t sold any bottles yet, so the closing stock is?

• A) 800 Bottles

• B) 40 Bottles

• C) 400 Bottles

• D) 4000 Bottles

In Ajit's business, where he is selling electronics like phones, laptops, and televisions directly purchased from his supplier, which type of industry does his business belong to?

• A) Trading Industry

• B) Service Industry

• C) Manufacturing Industry

• D) All of the above