Harry Monst is presenting information to the board of directors relating to this year€™s annual financial statements. In discussing inventory, Mr. Monst argues, €œThere is no need to provide detail as to the components of inventory. A summary figure is all that investors and creditors require. Why should they care if inventory is in the form of raw materials, work in process, or finished goods?€ Information relating to inventory is as follows:

As a stockholder, which type of disclosure would you prefer? Why? What information is contained in the detailed inventory figures that cannot be inferred from the summary inventoryfigure?

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(In thousands of $) 2007 2008 Raw materials. Work in process.... Finished goods $162 60 53 $275 $ 92 65 93 Total $250