When an inventory system updates the Inventory account at the time of each sale, this is known as:

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A perpetual system updates the inventory account at the time of each sale, allowing for real-time tracking of inventory levels and cost of goods sold. A periodic system, on the other hand, only updates the inventory account at the end of an accounting period based on physical counts of inventory. A contra-purchase system and accrual system are not relevant to inventory tracking.

When an Inventory System Updates the Inventory Account at the Time