What Is Bill Of Material In Cost Accounting

A Bill Of Material is a document prepared by production control department of the company

It contains the computation list of the materials required for a particular job/ order/ process

It is generally prepared for non-standardised jobs, Because in case of those jobs their material requirment differs from job to job

Bill Of Material  prepared for the purpose of requisition. It is prepared in Tripilicate

One copy is returned by the storekeeper to the requisition department

After signing it second copy is retained by the storekeeper in his department

The third copy is sent to the costing department of the company

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