Best Math Formula website. Search anything about Math Formula in this website.
formula for weighted average cost. E Market value of the firms equity D Market value of the firms debt V E D R e Cost of equity R d Cost. Periodic Weighted Average Inventory Example Goods available for sale is 415 units with a total cost of 339400.
The Weighted Average Cost Of Capital Wacc Is One Of The Key Inputs In Discounted Cash Flow Dcf Analysis An Cost Of Capital Weighted Average Raising Capital from www.pinterest.com
By using the Weighted Average Formula we get- Weighted Average W1 X1 W2 X2 WnXn Weighted Average 3080 4065 1585 1590 Weighted Average 7625 or 76. To calculate equivalent units divide total costs for the period by the total equivalent units. Weighted average cost of capital formula of Company A 35 004 25 006 065 00396 396.
Its formula is given by.
The weighted average cost per unit is therefore 25778 116000 450 units The ending inventory valuation is 45112 175 units 25778 weighted average cost while the cost of goods sold valuation is 70890 275 units 25778 weighted average cost. Re Cost of equity Rd Cost of debt E Market value of the firms equity D Market value of the firms debt V E. Weighted average is a type of an average that takes into account the relative importance of each value under consideration and is calculated by multiplying the respective weights in percentage terms with its corresponding value Weighted Average Formula W1X1 W2X2 WnXn Here w respective weight in percentage x value. Region price Station1 price x Station1 volume Station2 price x Station2 volume Station3 price x Station3 volume Total Volume The above is a weighted average formula that uses each stations volume of gas supply as the weight value.
