Ordering QuestionClick and drag on elements in orderList the following documents in the order in which they are used when recording direct materials costs in job order cost accounting, with the first document on top.InstructionsDrag and drop application.Choice 1 of 4. Receiving reports toggle buttonReceiving reportsChoice 2 of 4. Materials requisitions toggle buttonMaterials requisitionsChoice 3 of 4. Materials ledger cards toggle buttonMaterials ledger cardsChoice 4 of 4. Job cost sheets toggle buttonJob cost sheets
Question
Ordering QuestionClick and drag on elements in orderList the following documents in the order in which they are used when recording direct materials costs in job order cost accounting, with the first document on top.InstructionsDrag and drop application.Choice 1 of 4. Receiving reports toggle buttonReceiving reportsChoice 2 of 4. Materials requisitions toggle buttonMaterials requisitionsChoice 3 of 4. Materials ledger cards toggle buttonMaterials ledger cardsChoice 4 of 4. Job cost sheets toggle buttonJob cost sheets
Solution
The order in which these documents are used when recording direct materials costs in job order cost accounting is:
- Materials requisitions
- Receiving reports
- Materials ledger cards
- Job cost sheets
Here's why:
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Materials Requisitions: This is the first document used. It is a form that is filled out by the production department and sent to the materials or purchasing department to request the issuance of raw materials for production.
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Receiving Reports: After the materials are received, the receiving department prepares a receiving report that details the quantities and condition of the materials received.
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Materials Ledger Cards: These are then updated to reflect the receipt of the materials. They are used to keep track of all the materials received, issued, and on hand.
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Job Cost Sheets: Finally, the cost of the direct materials used is recorded on the job cost sheets. These sheets are used to accumulate all the costs associated with a particular job.
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