Identify Whether the Following Are Benefits of Using a Perpetual

question 26

Essay

Identify whether the following are benefits of using a perpetual inventory system (in comparison to a periodic system).
$$\begin{array} { | l | l | } \hline \text { Potential benefit } & \text { True/False } \\\hline \text { A perpetual system is less costly than a periodic system. } & \\\hline \text { A perpetual system produces information that is more useful for inventory } & \\\text { management. } & \\\hline \begin{array} { l } \text { A perpetual system allows a company to avoid conducting costly inventory } \\\text { counts. }\end{array} & \\\hline \text { A perpetual system is required by IFRS and ASPE. } & \\\hline\end{array}$$

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Definitions:

Individualism

A philosophical and social ideology that emphasizes the moral worth and autonomy of the individual, prioritizing personal goals over group objectives.

Collectivism

A social theory favoring the priority of group needs over individual needs.

Consistency

The quality of always behaving or performing in a similar way, maintaining the same standards.

Openness to Experience

A personality trait characterized by a willingness to try new things, be creative, and think outside the traditional framework.