Perpetual inventory differs from physical inventory in that:
A)a record of the quantity in stock is always available with physical inventory.
B)food cost per day cannot be calculated with perpetual inventory.
C)purchases and inventory issues are recorded with physical inventory.
D)no visual inspection of the inventory is done to calculate perpetual inventory.

Question

Quizplus · Accepted Answer

Perpetual inventory relies on real-time tracking of inventory levels through transaction recording, such as sales and purchases. Physical inventory, on the other hand, involves physically counting all items on hand to determine the actual inventory levels. Therefore, visual inspection of the inventory is not done with perpetual inventory.

Perpetual Inventory Differs from Physical Inventory in That