The Advantage of the Weighted-Average Method Is

question 119

Multiple Choice

The advantage of the weighted-average method is:

• A)an equal cost is assigned to each unit so net income does not fluctuate as much as with other methods.
• B)flow of goods and flow of costs are the same.
• C)it matches current selling prices and current costs.
• D)old costs are matched against current income.

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Definitions:

Labor Shortage

Occurs when there are not enough workers to fill the available job positions, often leading to increased wages to attract talent.

Technological Innovation

The introduction of new technologies or the improvement of existing technologies to create more effective processes, products, or ideas.

Overtime

Hours worked in addition to one's regular working hours, often eligible for additional pay or compensatory time off.

Outsourcing

The practice of hiring external firms or individuals to perform tasks, handle operations, or provide services that are either difficult to manage or outside the company's core business.