Question

The cost of investment sold is to be calculated as per ___ method
a) FIFO
b) LIFO
c) Weighted average
d) simple average​

Answer 1

Answer:

d) Simple Average

Explanation:

The average cost basis method is commonly used by investors for mutual fund tax reporting.

Answer 2

Simple average method

In this method, materials are given at the normal cost of materials close by on the date of issue. The basic normal cost is determined by separating the absolute of all paces of material close by the number of rates. In the straightforward normal technique, the issue cost of materials is fixed at a normal unit cost. The simple average is the average of cost disregarding the amounts in question. The simple average price is determined by separating the complete paces of the materials in the stores by the number of paces of costs.