Student Doubts Forum

Rounding numbers

Rounding numbers

by Marith Marianne Luteijn -
Number of replies: 1

Hi!

Is there any specific rule on rounding numbers? And does rounding numbers matter on the exams?

I am having trouble with problem 3.2 because I do not know how to round the price per unit for the WAC.

This is what I did:

(1 011 000 euro+ 300 000 euro)/650000 units = 2,016923...

When i try to multiply that with the amount of units in the closing inventory (130 000) I dont get to 262 000. How should I round it?


Thank you!

In reply to Marith Marianne Luteijn

Re: Rounding numbers

by Madalena dos Santos de Paiva -
Hello Marith,

For midterms and exams, we explicitly specify the number of decimal places to round the final results to, which is usually two. For exercises and when computing the calculations, we tend to round to more decimal places just to make sure the values match the solutions.

Best,
Madalena Paiva