When using weighted average process costing:
A) The costs attached to beginning work in process are kept separate from all other costs
B) The beginning work in process costs are added to current period costs.
C) Units in ending inventory are not included when calculating equivalent units.
D) The weighted average cost is used for the current period and future periods.

Question

Quizplus · Accepted Answer

In weighted average process costing, the costs from the beginning work in process are combined with the costs incurred during the current period to calculate the average cost per unit. This method does not keep beginning costs separate, does include units in ending inventory for calculating equivalent units, and the weighted average cost calculated is specific to the current period, not future periods.

When Using Weighted Average Process Costing