Jargon File

  

· Precedent File · Related Links · Comics · Jargon File · Document Maker · About William H. Widen · About Site ·

Eligible inventory

  1. A defined term that describes the characteristics of inventory that may be included in a borrowing base or qualify for sale in a securitization transaction.
  2. Generally, "eligible inventory" includes only inventory that is new merchandise that is not obsolete and constitutes finished goods. Occasionaly, raw mateials or work in process may be included but often at a greater discount.
  3. View an Eligible Inventory definition.