What is a Manufacturing Business?

A manufacturing business is one that purchases raw materials and transforms the materials into products it then sells to its customers. A manufacturing business combines materials with labor and supplies to create a product. Customers exchange money for the benefit (or perceived benefit) they receive from the products. Examples of manufacturing businesses are:

  1. Toyota
  2. Apple
  3. Samsung
  4. General Motors
  5. Exxon
  6. Ford
  7. Hewlett-Packard
  8. Tesla

To learn more about how financial statements for a manufacturing business work, watch this video:

Video explaining Income Statements in a Manufacturing Business.

Caroline Grimm

Caroline Grimm is an accounting educator and a small business enthusiast. She holds Masters and Bachelor degrees in Business Administration. She is the author of 13 books and the creator of Accounting How To YouTube channel and blog. For more information visit: https://accountinghowto.com/about/

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