The method of inventory costing that is based on the assumption that costs should be charged against revenue in accordance with the weighted average unit costs of the items sold.
This is the average price of units purchased by the investor calculated by adding up all the costs involved in purchasing all the units of investment and then dividing the sum by the total number of units. .
A method of finding out the cost per unit by adding up all the costs involved in purchasing all the units of investment and then dividing the sum by the total number of units.
Inventory costing method based on the average cost of inventory during the period. Average cost is determined by dividing the cost of goods in inventory by the number of units of the same type in inventory at any point in time.
A method of valuing inventory and cost of products sold; all costs, including those in beginning inventory, are added together and divided by the total number of units to arrive at a cost per unit.