Multiple Choice Questions on In which method of material issue the issue price is based on the average of the unit prices of diff........... for SEBI Grade A ( Officer) Exam Preparation

Back to Main Page

Multiple Choice Questions

In which method of material issue the issue price is based on the average of the unit prices of diff...........

Costing - Phase (I & II) Basics of Cost Control and Analysis
    Download Solution PDF

    In which method of material issue, the issue price is based on the average of the unit prices of different lots of materials:

    First in First Out (FIFO)

    Incorrect Answer

    Last in First Out (LIFO)

    Incorrect Answer

    Simple Average Method

    Correct Answer

    Weighted Average Method

    Incorrect Answer
    छोटे Courses बड़े Results
    Master Basics of Cost Control and Analysis
    Prepare through Micro-courses
    Try Now
    Explanation:

    In average price method, the price is computed by dividing total of unit purchase prices of different lots of materials by number of prices constituting total, but quantity of different lots is ignored.

    Simple average price=

    Total of unit prices of materials in stock/number of purchases

    By: Vikas Goyal
    ProfileResources

    Let's Discuss

    Master
    Basics of Cost Control and Analysis
    With abhipedia
    Micro Courses
    Try Now
    What our students have to say
    Review on us
    Download Abhipedia Android App

    Access to prime resources

    Downlod from playstore
    download android app download android app for free