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Process Costing
A costing methodology employed in industries where production is continuous, assigning costs to units of product based on the processes they go through.
Weighted-Average Method
A method of costing inventory that calculates the cost of goods based on the average price of all similar items available throughout the period.
Process Costing
A costing method used for homogeneous products, where costs are pooled and then assigned to units, making it suitable for industries like chemicals or food processing.
Weighted-Average Method
A method that determines the cost of goods sold and the final inventory by averaging the cost of all items available for sale.
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