In a process costing system using the weighted average method,cost per equivalent unit for a given cost component is found by dividing which of the following by EUP?

Question

Quizplus · Accepted Answer

The weighted average method uses the total cost of beginning inventory and current period cost, divided by their total equivalent units, to determine the cost per equivalent unit. This is because the cost of beginning inventory is mixed in with the current period cost, and must be taken into account to accurately determine the cost per unit. Therefore, choice B (current period cost plus the cost of beginning inventory) is the correct answer.

In a Process Costing System Using the Weighted Average Method,cost