Work in process is used to report inventory items that are currently being constructed but are not yet done. Work in progress, on the other hand, is usually used to report capital assets on longer ...

If work-in-process inventory is worth $10,000 and the final value of those products upon completion is $50,000, the additional $40,000 in production costs must be accounted for as the costs are added.

The accounting entry for work in process, therefore, equals $14,400 for reporting purposes. Advertisement. Article continues below this ad. Percentage of Completion.