Financial Accounting Inventory is a collection of all the resources, materials, and items held by an organization that can be used for the purpose of producing goods or services in exchange for money. It typically includes raw materials, inventory in-transit, finished goods, packaging supplies, and more. In other words, it’s everything needed to ensure your business runs smoothly and effectively. By keeping track of this information and ensuring accurate records are maintained, businesses can protect their financial health and maximize profits.