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In the weighted-average costing method, the costs of direct materials in beginning inventory are NOT included in the cost per unit calculation since direct materials are almost always added at the start of the production process.
Zero Sum Game
A situation in game theory where one participant's gains or losses are exactly balanced by the losses or gains of the other participants.
Options Contracts
Options contracts are agreements between two parties to buy or sell an asset at a predetermined price on or before a specific date.
Speculator
An individual or entity that engages in the buying and selling of financial instruments or assets for short-term profit, taking on higher risk.
Futures Contract
A financial contract obligating the buyer to purchase, and the seller to sell, a particular asset at a predetermined future date and price.
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