Weighted average method.
Currently, society is growing and growing, and in some cases it turns out to be very
beneficial and in others not. As companies need to see new
sales techniques, new growth methods need to seek a
good inventory control.
And Emprende Fx provides you with important content about a technique of
inventory and everything about it: its definition, characteristics, advantages and
disadvantages.
Start» Economy and Finance Weighted Average Method: Characteristics
Weighted Average Method:
Characteristics
Weighted average method.
Currently, society is growing and growing, and in some cases it turns out to be very
beneficial in some cases and not in others. As companies need to see new
sales techniques, new growth methods need to seek a
good inventory control.
And Emprende Fx provides you with important content about a technique of
inventory and all about: its definition, characteristics, advantages and
disadvantages.
Through this article, we will help you answer these questions:
What is the weighted average method and what is it used for?
What are its advantages and disadvantages?
What are the characteristics and purpose of the average?
weighted?
Concept of the Weighted Average Method
Contenido:[Show]
The weighted average method is also known as 'Price
Weighted Average" that is used to determine the value of the
merchandise, taking into account the average prices of the stocks in
stock to determine the cost of goods sold.
This technique softens thecost of salesfrom the organization, carrying out
some changes in the 'Net Profit', maintaining the same
income levels. Companies that sell quite a few products and their
merchandise is usually small, those who use this method.