Final answer:
A 'component listing' provides a detailed inventory of materials needed to produce goods. It includes all parts and materials for product construction and serves as a crucial step in the planning and production process.
Step-by-step explanation:
The material that identifies the list of materials needed to produce one or more units of a finished good is known as a component listing. This listing is an essential part of the planning phase in the production process, as it allows for the identification of all the parts, materials, and assemblies required to construct a product.
To provide a clear understanding, an example could be drawn from preparing a simple item like a wooden table. The component listing for the table would include wood planks, nails or screws, glue, and possibly varnish or paint.
To follow a systematic approach, one should first make a list of the known quantities, such as the type and size of each material. Then, they need to identify the unknown quantities which in this case, could be the number of screws or the amount of varnish needed for the finish. Activities such as examining labels on food items help to draw parallels in understanding component listing, as one can connect the listed ingredients to the final product.