Goods In Process

See: Work in Process.

You run Double Knot, Inc., a manufacturer of fine shoelaces. When it comes time to value your inventory, you've got three basic categories: raw materials (consisting of giant rolls of lace material and giant boxes full of those little plastic things that go on the ends), finished products (the actual laces, ready for sale), and goods-in-progress.

The last category, also known as work-in-progress or work-in-process, accounts for those shoelaces that are getting worked on at the time you're conducting your inventory. Your workers started making the laces, but weren't done yet. They are...in process.