In economic terms, which of the following is categorized as inventory investment?

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Inventory investment refers specifically to the stock of goods that businesses hold for the purpose of selling in the normal course of operations. This includes raw materials, work-in-progress items, and finished goods that are ready for sale. In this context, finished goods held for sale are the products that a business has completed and is prepared to sell to customers. As such, this type of inventory represents a critical component of a company's resources, influencing its sales and production strategies.

Day-to-day consumables and retail products might not be classified as inventory investment in the same sense since consumables are typically used immediately and retail products can encompass a broader category of items, not all of which qualify as inventory in an economic framework. Capital assets, on the other hand, refer to long-term assets used to produce goods or services and are not typically included in inventory investment as they are not held for immediate sale.

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