Understanding the Average Cost Method in Accounting

When it comes to understanding accounting principles, especially when you're gearing up for your ACG3173 course at UCF, the Average Cost method is a concept you'll definitely encounter. So, what’s it all about? Picture this: you’ve got a smattering of inventory items lying around, and each came with a different price tag. You could track each one individually, painstakingly noting how much each costs and when it was bought—sounds exhausting, right? Enter the Average Cost method, your trusty sidekick in the world of inventory valuation!