Companies determine the number of units on hand from perpetual inventory records backed up by a physical count.

Question

Quizplus · Accepted Answer

Perpetual inventory records are updated continuously, allowing companies to have real-time information on the number of units on hand. However, a physical count is still conducted periodically to verify the accuracy of the perpetual records and to identify any discrepancies that may need to be addressed.

Companies Determine the Number of Units on Hand from Perpetual