Definition: Inventories are classed as current assets in the entity’s balance sheet. They normally include a group of liquid assets including raw materials, work in progress, and finished goods which are expected to be converted into cash or cash equivalent within 12 months. The three main common examples of the entity’s financial statements are income […]
Are Inventories Current Assets? (With Detail Explanation) Read More »
Inventory Turnover Ratio: The Inventory Turnover Ratio is one of the Financial Ratios used to assess how often the inventories are replaced and sales performance over a specific period. This ratio is normally used to assess how well the inbound and outbound system of inventories are, based on the strong relationship between the Cost of
How to Calculate Inventory Turnover Ratio? (Definition, Using, Formula, and Example) Read More »
History of Just In Time (JIT): Just In Time, called TOYOTA Manufacturing Production System, is part of the Lean Manufacturing Production System. There is a long story before becoming the Just-In-Time that we know today. Eli Whitney first initiated the Just In Time concept in 1799, who had a large contract with the U.S. Army at
Just-In-Time: History, Objective, Productions, and Purchasing Read More »