weighted average method of inventory valuation
The ending inventory valuation is $45,112 (175 units Ã $257.78 weighted average cost), while the cost of goods sold valuation is $70,890 (275 units Ã $257.78 weighted average cost).The sum of these two amounts (less a rounding error) equals the $116,000 total actual cost of all purchases and beginning inventory.he total of all purchased or beginning inventory units is 450 (150 beginning inventory + 300 purchased). The weighted average cost per unit is therefore $257.78 ($116,000 Ã· 450 units.).