Question 3Where is the value of a raw material tracked? 1 pointInventory sub-accountDeferred revenueInventory general category Equipment

Understanding the Question

The question asks about where the value of a raw material is tracked within a business accounting context.

Options Analysis

1. Inventory sub-account: This could refer to a specific account within the inventory accounting system that tracks various types of inventory separately.
2. Deferred revenue: This is a liability account that tracks revenue that has been received but not yet earned; not related to raw materials.
3. Inventory general category: This likely refers to the overall inventory category where all inventory items are recorded, including raw materials.
4. Equipment: This typically pertains to long-term assets and isn’t directly related to raw materials.

Conclusion

Given the context, the value of raw materials is most appropriately tracked in an Inventory sub-account or Inventory general category. However, since the question specifies a single answer, the best choice would typically be:

Final Answer

Inventory sub-account