ninis- 
ized 
ırden 
Int. 
int. 
r ae- 
Iring- 
rocess 
oduet 
; and 
  
CHAPTER IX 
METHODS OF COLLECTING MATERIAL AND LABOR COSTS 
Sources or Cost Data 
The diagram in Figure 40 indicates the five principal 
sources of cost data. These data relate to (1) orders, 
(2) materials, (3) material burden, (4) direct labor, (5) 
manufacturing expense. 
DATA REGARDING ORDERS 
The cost department needs to have for its own files an 
exact copy of all orders issued by (a) the shipping or 
order department as a result of instructions from the 
sales department authorizing the shipment of completed 
product in parts in stock, or the making to order of 
product, or the repair of parts or completed product; 
(b) the production department, whether stock orders 
for detail part replenishment, orders for assembling 
groups or entirely erected product, or special repair part 
or repair orders. 
It frequently happens that the serial numbering scheme 
of the commercial order department may be quite dif- 
ferent from that employed by the production department, 
sinee the order department's System will be adapted to 
ease of reference from the standpoint of selling and 
commercial records, whereas, the production depart- 
ment's numbering system will be adapted to ease of ref- 
erence and natural classification of product in the shop. 
181