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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Work In Process Inventory

Definition:

A balance sheet item which tracks production process - i.e. many companies carry a lot of value in half-made widgets - their process must be tracked financially over the course of the quarter.

Example

Just see the Shmoorb (Shmoop blurb) on working capital. The inventory "in process" is in the process of being paid for, drunk, and then whizzed. It's the 500 stored glasses a day of Miss Havisham's bitter lemonade times 100 days' worth of inventory.

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