Ferguson announced on Wednesday that he would retire from management at the end of the season after 26-and-a-half years at Old Trafford. Moyes was immediately installed as favourite to replace him after a flurry of bets.
Out of contract in the summer, Moyes has consistently led Everton to top half finishes in the Premier League despite operating on a shoestring budget. It is believed he was chosen by Ferguson himself, who will move upstairs as a director and ambassador of United.
Moyes has not yet been confirmed as United's first new manager since November 1986.
Both managers will remain in their positions for the final two games of the season, with Ferguson set for an emotional farewell at Old Trafford when United play Swansea City and the club are presented with the 13th Premier League trophy of his tenure. His final, and 1,500th game with the Red Devils will be at West Bromwich Albion.
Moyes' last match at Goodison Park as Everton boss comes against West Ham on Sunday before he bows out against Chelsea at Stamford Bridge.
Wigan manager Roberto Martinez, Swansea's Michael Laudrup and Celtic boss Neil Lennon have already emerged as early candidates for the job at Everton.
A statement released on the club's official website read: "Everton can confirm that David Moyes will leave the club at the end of the season. The manager met chairman Bill Kenwright early yesterday evening [Wednesday 8th May] and confirmed his desire to join Manchester United.
"The chairman, on behalf of the club, would like to place on record his thanks to David for the massive contribution he has made to Everton since his arrival in March 2002. He has been an outstanding Manager. During his tenure at Goodison Park, David has taken charge of the team on over 500 occasions including four European campaigns.
"His final two games as Everton manager will be the remaining Premier League matches against West Ham United and Chelsea. Everton officials will start the search for a replacement manager immediately."
Speculation over Moyes' future has grown over the season. He declared in February that he wanted to use his team's performance over the final three months of the season to help him decide whether to stay on at Goodison Park. All attempts to question him on his future after that were met with the response that he would make a decision at the end of the season.
A long-time friend of Ferguson, Moyes was a candidate to become his assistant at Old Trafford after Brian Kidd vacated the role to become manager of Blackburn in December 1998.
The two men met to discuss the role, and Moyes - then in charge of Preston - was interested in making the move, but after nearly two months of deliberation Ferguson instead decided to bring in Steve McClaren, then Derby's first-team coach, at the start of February 1999.
Moyes began his managerial career with Preston in 1998, leading the club to the second tier in his second year in charge, before succeeding former Manchester United assistant manager Walter Smith at Goodison Park in 2002.
His time with Everton has not resulted in silverware, but he led the club into the top four in 2005 as well as finishing runners-up in the FA Cup in 2009. He shares with Ferguson the record for LMA Manager of the Year awards, earning the accolade in 2003, 2005 and 2009.
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