Which of the following is not an advantage of a perpetual inventory system?
A)assists in the prevention of stockouts
B)requires less data processing effort than periodic systems
C)maintains up-to-date inventory and cost of goods sold balances
D)provides evidence of inventory shrinkage

Question

Quizplus · Accepted Answer

A perpetual inventory system requires more data processing effort than periodic systems as it constantly updates inventory levels and costs in real-time, whereas periodic systems only update inventory levels periodically.

Which of the Following Is Not an Advantage of a Perpetual