Final answer:
The excess materials requisition is significant in identifying materials used in production that exceed the standard amount allowed, indicating the amount of material released to work centers, and documenting the return to raw materials inventory of unused production materials.
Step-by-step explanation:
The internal control significance of the excess materials requisition is that it identifies materials used in production that exceed the standard amount allowed. This allows for monitoring and evaluating material usage, ensuring that production stays within acceptable limits. It also helps in identifying any potential issues such as inefficient use of materials or theft.
Furthermore, the excess materials requisition indicates the amount of material released to work centers. This helps in tracking the movement of materials within the organization and ensures that the necessary materials are being allocated to the appropriate work centers.
Lastly, the excess materials requisition documents the return to raw materials inventory of unused production materials. This is important for inventory management and control, as it helps in maintaining accurate records of the inventory levels and reduces the risk of stockouts or excess inventory.