Goods received that have not yet been processed in your facility are known as ____________.

The correct term for goods received that have not yet been processed in your facility is raw materials. Raw materials refer specifically to the basic substances that are used to produce finished goods but have not yet undergone any processing or transformation. They are essential inputs in the manufacturing process, as they serve as the foundational elements that get transformed into the final products through various stages of production.

Understanding this terminology is important for managing a small business’s finances effectively, as it relates to inventory management and the cost of goods sold. Specifically, raw materials are a key component of total inventory, and keeping track of these materials helps businesses accurately assess their expenses, budget for production, and understand their supply chain dynamics. In contrast, the other terms refer to different stages of the production process or different types of inventory altogether, which is why they do not accurately describe goods that have not been processed.