The difference between the weighted average and FIFO methods of computing equivalent units of production is the manner in which the
A) Equivalent units for beginning inventory is computed
B) Number of units started and completed is computed
C) Equivalent units for ending inventory is computed
D) Number of units completed and transferred out is computed

Question

Quizplus · Accepted Answer

The weighted average method includes beginning inventory in the calculation of equivalent units, while FIFO considers only the work done during the current period.

The Difference Between the Weighted Average and FIFO Methods of Computing