27.3k views
3 votes
What is a key difference between a perpetual inventory system and a periodic inventory system?

User Plutownium
by
7.4k points

1 Answer

4 votes

Answer:

The periodic inventory system uses an occasional physical count to measure the level of inventory and the cost of goods sold. The perpetual system keeps track of inventory balances continuously, with updates made automatically whenever a product is received or sold.

User AaronDT
by
8.6k points

No related questions found

Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.