Companies Using a Perpetual Inventory System

question 29

Multiple Choice

Companies using a perpetual inventory system:

• A) ever physically count their inventory.
• B) must count their inventory at least once a week.
• C) still need to count the inventory at the end of the period.
• D) always know the actual amount in inventory from their accounting records.

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Definitions:

Private Practice

The business practice of a professional, especially in healthcare or legal fields, who operates independently rather than being employed by an organization.

Starting

The act or process of initiating or beginning something, such as a project, activity, or conversation.

Profits

The financial gain obtained when the revenue generated from business activities exceeds the expenses, costs, and taxes involved in sustaining the activity.

Private Practices

Independent business ventures where professionals offer their services to clients on a fee-for-service basis, often in healthcare.