Material requisition note
A material requisition note authorises and records materials issued from stores to a job, department or other cost object. It normally identifies the material code, quantity, date and destination. The issue reduces stores inventory and charges the relevant work in progress or overhead account using the specified cost formula. It supports both physical control and accurate job or process costs; it is not an external purchase order.
Worked example
Stores issues 20 kilograms of material at $6 per kilogram to job 14. Charge that job $120 and reduce stores inventory by $120.
Common mistake
An issue document records movement and destination, not necessarily a new purchase or cash payment.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | MA | Direct | September 2026–June 2027 |
| FIA | FMA | Direct | September 2026–June 2027 |
