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A job-cost record is a source document, but individual items of the job-cost record may also have source documents.

a-true
b-false

User Kasheem
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Final answer:

A job-cost record is a document used to track the costs associated with a specific job or project. While the job-cost record itself is a source document, the individual items within the record may also have their own source documents.

Step-by-step explanation:

The statement is false. A job-cost record is a document used in accounting to track the costs associated with a specific job or project. It provides detailed information on the direct materials, direct labor, and overhead costs incurred for the job. While the job-cost record itself is a source document, the individual items within the record may also have their own source documents.



For example, if a job requires the purchase of raw materials, the invoice or receipt for the raw materials would be a source document for the direct materials cost. If the job involves hiring subcontractors, their invoices or timesheets would be source documents for the direct labor cost.



Having source documents for each item of the job-cost record helps ensure the accuracy and traceability of the costs recorded, and allows for proper reconciliation and analysis.

User Sliter
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