Weighted average method, Cost Accounting

Weighted Average Method

This way is a perpetual weighted average system whereas the issue price is recalculated after one of receipt of stocks taking into accounts both money and quantities vale of the stocks received.

During this case stock employed or unused is based upon the average price per unit whereas the average price per unit is calculated as specifies as:

= Net value of stocks/No. of units of stock

=   Average Price per Unit

= (Money value of old stocks + Money Value of New Stocks)/(Quantity of old stocks + Quantity of New Stocks)

Posted Date: 2/5/2013 5:30:13 AM | Location : United States

Related Discussions:- Weighted average method, Assignment Help, Ask Question on Weighted average method, Get Answer, Expert's Help, Weighted average method Discussions

Write discussion on Weighted average method
Your posts are moderated
Related Questions
Goal Definition and Communication - Behavioural Aspects of Standards Goal Definition The desired goals should be clearly defined to individuals, departments and the organ

These balances for a company x Raw materials $40,000 Work in process $30,000 Finished goods $60,000 for the current year the company estimated that it would work 150.000 m

Rediger Inc. a manufacturing company, has provided the following data for the month of June. The balance in the Work in Process inventory account was $22,000 at the beginning of th

Income Statement - Cost Accunting: A starting entrepreneur has come up with a plan to start a Gaming Outlet in Haarlem. He would like to buy a building which will cost € 700.0

Explain:- Q Why is the statement of cash flows useful? Q. How is it possible for a company to suffer a net loss for a given year, yet produce a positive net cash flow from opera

Participation - Behavioural Aspects of Standards It has already been pointed out in the previous paragraph such standard costing systems would be more acceptable whether the e

PH plc operates a modern factory that changes chemicals into fertilizer. Due to the the demand for  its product  is  seasonal,  the  company expects  that  there will be an average

You are provided with the subsequent information relating to Cello Ltd. The accountant is currently preparing the budget for the next three months ending 30 June 2010.

Question The statements of comprehensive income for three entities for the year ended 30 September 2009 are presented below: SOT PB UV

A company manufactures two products, Product A manufactured in Process Y and Product B manufactured in Process Z. The following information is available for a period: