The weighted average cost method calculates the per-unit cost by multiplying each cost batch by its proportion of total quantity, summing those products, and dividing by the total amount—yielding one standardized cost per unit.
Source: https://www.investopedia.com/terms/w/weightedaveragecost.asp
Tools that match this term
You might also be interested in these terms
Weekly: Top news, industry facts and insights from the world of logistics – free.
Share your knowledge, ask follow-up questions, or add practical insights to this page. Every contribution is moderated before publication.