Ch 2Material — Class 12 Cost Accounting, concept-first.

Material is the most tangible and, in most manufacturing concerns, the single largest element of cost.

Purchasing is the starting point of the whole materials cycle. A wrong purchase — of the wrong quality, in the wrong quantity, at the wrong time, or at too high a price — carries its mistake right thr…

Once material has been purchased and received, it must be properly stored, recorded and safeguarded until it is issued to production.

When materials are bought at different times, they are often bought at different rates. Once these differently-priced lots are mixed in store, the question arises: when material is issued to productio…

Materials control is the systematic regulation of the purchase, storage and use of material, so that a steady, uninterrupted supply is available for production at the lowest possible cost — without ei…

Not all material bought ends up in the finished product. Some is unavoidably lost or diminished during handling, storage and processing.

These questions test your understanding of the material chapter — the concept and classification of material; purchasing (importance, the Six R's, centralised vs decentralised buying, the functions an…

Sample papers and previous-year board questions for this subject.