Lesson ProgressPhase 5 of 6
Phase 5Assessment
Assessment: Specific Identification and Weighted Average
Multiple-choice exit ticket checking method recognition, method fit, specific identification logic, and weighted average calculation including rounding.
Phase 5: Assessment
Specific Identification & Weighted Average: Knowledge Check
Demonstrate your understanding of when and how to use these two inventory methods. You've practiced the calculations — now show what you've learned.
Method Recognition & Calculation
Answer these questions to show you understand which method fits which business and how each method works.
1. A car dealership sells vehicles with unique VIN numbers. Which inventory method is most appropriate?
2. A bulk grain supplier receives multiple shipments of wheat at different prices, but all grain mixes together in the silo. Which method makes the most sense?
3. When calculating weighted average cost, a common mistake is to average the prices. What should you do instead?
4. A jewelry store has three necklaces: one at $2,000, one at $2,200, and one at $2,500. They sell the $2,200 necklace. Using Specific Identification, what is COGS?
5. A gas station receives deliveries at $3.00/gallon, $3.20/gallon, and $3.40/gallon. After mixing in the underground tank, they have 10,000 gallons with a total cost of $32,000. What is the weighted average cost per gallon?
6. Why would a custom computer builder use Specific Identification instead of Weighted Average?
7. Under Weighted Average, what rate do you use for both COGS and Ending Inventory?
8. Why can't Weighted Average work for a jewelry store selling one-of-a-kind diamond rings?
9. A business has Beginning Inventory of 100 units at $5 each, purchases 200 units at $6 each, and purchases 100 units at $7 each. What is the weighted average cost per unit?
10. What is the key difference between Specific Identification and the other three inventory methods?
0 of 10 questions answered