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weighted average

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › weighted average

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by Ken Garrett.
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  • November 30, 2015 at 8:11 am #286315
    kunal10
    Member
    • Topics: 18
    • Replies: 28
    • ☆

    Hi sir,

    You have the expertise so i sure you can guide me.
    I have a question on stock . when we foreseen we will use a stock we will send it to site . should this be accounted while calculating the wac? How we normally account it?

    Thank you

    November 30, 2015 at 9:42 am #286348
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10197
    • ☆☆☆☆☆

    Weighted average cost of stock/unit is only affected when new items arrive. When goods are despatched they are removed from inventory at the current weighted average cost, so the cost/unit does no change.

    Stock value is generally changed only when goods are received or despatched.

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