[wilcrow5]

A small business, who designs hose for the oil field industry, has inventory that they hold in their warehouse. The business does not own the inventory, but only uses the inventory when they need it. The business does pay to insure the inventory. The books for the company state that the inventory account is one number, but again, the business does not own this inventory, it is just in their warehouse and they expense it as they use it. Would the business have to include this product in their inventory even though they do not own it?