Which of the following is false in respect of Bills of materials ?

CS Executive · Cost and Management Accounting · PYQS · June 2018
Which of the following is false in respect of Bills of materials ?
(A) Suitable action for purchase of material can be taken on the basis of the bills of materials.
(B) It serves as an advance intimation to stores department about the raw material requirement.
(C) Bills of material is prepared by the purchase department.
(D) A Bill of material is a comprehensive list of material required for a particular job, process or service.

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Cost and Management Accounting

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic