Weighted average method, Cost Accounting

Assignment Help:

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)


Related Discussions:- Weighted average method

Contingent liabilities, These should be distinguished from estimated liabil...

These should be distinguished from estimated liabilities. Estimated liabilities are identified liabilities where the amount is uncertain. Contingent liabilities conversely are not

Job order costing, Amazing acrobatics performs acrobatics in stadiums aroun...

Amazing acrobatics performs acrobatics in stadiums around the world. The average show sells about 1,000 tickets at $60 per ticket. Each show requires a team of 45 highly trained sp

Operating cost, 1.Assume that Abel business corporation is purchasing new e...

1.Assume that Abel business corporation is purchasing new equipment, for 350,000$ at the beginning of 2014. Assume that Abel business corporation is in the 30% corporate tax bracke

Economic order quantity, Economic Order Quantity This constitutes the...

Economic Order Quantity This constitutes the quantity purchased of either raw materials or stocks which is considered most optimum. It is the quantity such minimizes both ord

Example of cash flow statement, 1. Shares were certified at a premium of Rs...

1. Shares were certified at a premium of Rs. 1.50' per share. 2. Throughout the year Taxation liability regarding of 2002 was Rs, 20,000 and paid. 3. Throughout the year, Rs.

Estimate fixed overhead variances, Estimate Fixed Overhead Variances ...

Estimate Fixed Overhead Variances Referring to data, we can estimate the fixed overhead variances as given below: Budget for December 2003;

Giardia, Place a prepared slide of Giardia first under tlie low power and t...

Place a prepared slide of Giardia first under tlie low power and then under the high power of the microscope and observe tlie followilig characters. i) Bilaterally symmetrical

Direct labour efficiency variances, Direct Labour Efficiency Variances ...

Direct Labour Efficiency Variances It is the difference between the standard hours allowed for the actual production achieved and the hours actually worked, all valued at THE

Labour costs, what are the classifications of labour costs? what is employe...

what are the classifications of labour costs? what is employee psyche?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd