Which of the following best describes the purpose of a bill of material class?
A)Links each raw material item to one or more finished good items.
B)Shows the issues of raw material items into work in process.
C)Links finished goods to production.
D)Shows the raw material usage variance.

Question

Quizplus · Accepted Answer

A bill of material class identifies and links each raw material item to one or more finished goods items. This is important for inventory and production planning purposes, as it helps to ensure that the necessary raw materials are available to produce the finished goods. The other choices are not the main purpose of a bill of material class.

Which of the Following Best Describes the Purpose of a Bill