A bill of materials includes a detailed record of materials. It is important that each part is assigned a number that fits well into the hierarchy of the bill.Know More
Begin by assigning each piece a specific level to show where it fits in the hierarchy of the bill of materials. Next, create a part number for each based on either an intelligent or non-intelligent scheme. Avoid creating multiple numbers for the same part. Create a unique name for each part, and place them in a specific stage of its life cycle. Along with listing a detailed description of each part and the quantity, it is also important to include units of measure, procurement type and other relevant notes. It is crucial to record non-modeled parts, such as labels, glue and fasteners.
As the bill of materials is being created, it is important to keep records using supporting documentation, such as data sheets and work instructions.
It is vital for your bill of materials to be as readable as possible. This may be done by conveying any and all information associated with each product throughout its life cycle.
Some examples of liquid assets include cash held in a safe deposit box, checking accounts, saving accounts, money market accounts, U.S. Treasury bills and some types of retirement accounts. An asset is liquid if you can quickly turn it into spendable cash without a significant penalty or loss in the underlying value.Full Answer >
In accounting, the word "expenditure" is used to indicate a cost that a company pays to acquire equipment or other assets. Expenditures can also reduce liabilities or be disbursed to owners. They can be considered a type of expense, but expenses and expenditures are listed differently on income statements. Expenditures usually span a period of more than one statement.Full Answer >
In business, owner's capital, or owner's equity, refers to money that owners have invested into the business. In some instances, individuals prefer to finance activities through capital, rather than loans, to avoid facing any financial interest charges.When activities are financed through capital in a business, the profits must be paid to the owners.Full Answer >
FIFO means "first in, first out" as an accounting or business method of keeping track of inventory. There are other methods as well, such as LIFO, or "last in, first out."Full Answer >