Procter & Gamble buys unprocessed logs, which are handled as little as needed to move them to its plant. Eventually, they become part of P&G's disposable diapers and are considered an expense item on P&G's income statement. For P&G, logs are

A. component parts.
B. component materials.
C. supplies.
D. farm products.
E. raw materials.


Answer: E

Business

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