A major advantage of the weighted average method of inventory costing is that
A) Cost flows correspond with the physical flow of merchandise.
B) Recent costs are assigned to the ending inventory balance.
C) It is relatively easy to apply.
D) It matches current costs with revenues.

Question

Quizplus · Accepted Answer

The weighted average method is relatively easy to apply because it smooths out price variations over the period by averaging the costs.

A Major Advantage of the Weighted Average Method of Inventory