Under FIFO Method - Beginning inventory units are separated from the completed and started units and from completed and transfer out units to get current period units. In other words (it is assumed as " Beginning Inventory units are first completed and started units during the period will be completed next.(First in First Out basis)), So for the calculation of Cost per unit, need to take "cost incurred during the period/ Equivalent Units." where as in weighted average method units are not separated from completed and transfer out. so cost incurred at the beginning + cost incurred during the period will be taken into account for the calculations of cost per unit.
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