Work-in-process inventory tracks inventory cost throughout the manufacturing process to maintain organization. ... For example, suppose a company's beginning WIP inventory costs $15,000 , ...

An example of a work in process may include manufactured goods that take less than a full accounting cycle to normally complete. This inventory is found on a manufacturing company’s balance sheet.

A work-in-progress (WIP) is the cost of unfinished goods in the manufacturing process including labor, raw materials, and overhead. WIPs are considered to be a current asset on the balance sheet.

Work-in-process inventory is what a company has started manufacturi. Chron Logo Hearst Newspapers Logo. Skip to main content. ... In this example, debit work-in-process inventory by $350.