Chapter 2 – Understand the Costing Method
Chapter 2.4 – Weighted Average Costing Method
Weighted Average Method
– valuing both inventory and the cost of goods sold based on the average cost of all materials bought during the period.
– A method used to assign the average cost of production to a product
Example of the Weighted Average Method:
![understand-the-costing-method-5](http://www.cy-grp.com/wp-content/uploads/2023/10/understand-the-costing-method-5.webp)
Example of the Weighted Average in the AutoCount stock card:
![understand-the-costing-method-6](http://www.cy-grp.com/wp-content/uploads/2023/10/understand-the-costing-method-6.webp)