To calculate the moving average unit cost, you need to consider the total cost and total quantity of inventory purchased over a specific period. Moving Average Unit Cost = Total Cost of Inventory Purchases / Total Quantity of Inventory PurchasedFor example, let's say the total cost of inventory purchases made during a specific period is $10,000. The total quantity of inventory purchased is 500 units:Moving Average Unit Cost = $10,000 / 500 = $20 per unitThis means that the moving average cost is $20 per unit based on the inventory purchases made within the specified period.