1 Items that are either manufactured or purchased for resale in the normal course of business are called: supplies Inventory Purchases Materials

Inventory refers to the goods and materials that a business holds for the purpose of resale. It can include finished products, work-in-progress items, and raw materials. Good inventory management ensures that businesses can meet customer demand without overstocking or running out of stock, which can negatively impact sales and customer satisfaction. In real-world applications, effective inventory control is crucial for businesses of all sizes. Retailers, for example, need to maintain the right amount of stock to satisfy consumer demand, while manufacturers must manage raw materials to ensure production runs smoothly. By utilizing techniques such as just-in-time inventory and inventory tracking software, businesses can optimize costs and improve efficiency.