Integrated Enterprise Systems 3- Explain the function of bill of materials in th

Question

Integrated Enterprise Systems

3-

Explain the function of bill of materials in the production process, and how can item categories influence in a bill of materials

4-

Menna school apron is a workshop where girl school aprons are designed and sewed. Also accessories are sold. These accessories, in form of packets of items collected together, are imported from an Egyptian enterprise. An apron costs 60SAR and an accessories packet costs 20SAR Alb-Baraka social association is buying, from Menna school apron, 20 girl school aprons and 20 packets of accessories; an apron is sold at 90SAR and an accessories packet costs 30SAR. Record financial impacts of these goods’ shipping, billing and payment using the T-accounts.

Explanation / Answer

Solution:

The function of bill of materials in the production process is; It gives a detail of all materials and quantities of every item which is required in the production process in order to build a product. The function of the bill of materials in the production process is to help in monitoring of the item which are required whether they are semi furnished or fully furnished and they are formally structured containing the list of the items. The bill and the material in the production acts as a input which after some processing and furnishing will become a product.

The categories of Bill of material is mentioned below:

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