What costs are included in classes of inventory, Cost Accounting

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What costs are included in classes of inventory

Response to the following problem:

Qualcomm Incorporated is a leading developer and manufacturer of digital wireless telecommunications products and services. Qualcomm reported the following inventories on September 26, 2010, in the notes to its financial statements:

(in millions) September 26, 2010

Raw materials $ 15

Work in process 284

Finished goods 229

528

a. Why does Qualcomm report three different inventories?

b. What costs are included in each of the three classes of inventory?

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Cost Accounting: What costs are included in classes of inventory

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Cost Accounting: What costs are included in classes of inventory

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