A perpetual record of a raw materials item that records data on the quantity and cost of units purchased, units issued for use in production, and units that remain in the raw materials inventory, is called a(n):
A) Materials ledger card.
B) Materials requisition.
C) Purchase order.
D) Materials voucher.
E) Purchase ledger.

Question

Quizplus · Accepted Answer

A materials ledger card is a document that tracks the quantity and cost of raw materials purchased, issued for production, and remaining in inventory. This provides a detailed record of the movement of materials through the production process and can be used for inventory management and cost accounting purposes. Materials requisitions, purchase orders, materials vouchers, and purchase ledgers are related documents but do not serve the same purpose as a materials ledger card.

A Perpetual Record of a Raw Materials Item That Records