An inventory system in which the inventory stock is replenished by a fixed amount whenever the inventory on hand decreases to a predetermined level is a
A)periodic system
B)continuous system
C)ABC system
D)fixed-time-period system

Question

Quizplus · Accepted Answer

A continuous system, also known as a perpetual inventory system, continuously monitors inventory levels and automatically reorders a fixed quantity of stock when it falls to a predetermined level, which is the definition provided in the question.

An Inventory System in Which the Inventory Stock Is Replenished