The primary difference between a periodic and perpetual inventory system is that a periodic system: Group of answer choices keeps a record showing the inventory on hand at all times. provides better control over inventories. records the cost of the sale on the date the sale is made. determines the inventory on hand only at the end of the accounting period.

explain the difference between a 'periodic inventory system' and a 'perpetual inventory system' and why a perpetual system provides more useful information than a periodic system. (3 marks)

All descriptions reveal the characteristics of a periodic inventory system, EXCEPT:Group of answer choicescost of goods sold is determined at the end of the periodinventory record is always up-to-datemerchandise inventory account is set-up at the beginning and ending of accounting periodpurchases are recorded at costNext

The periodic inventory system refers to the periodic inventory counts that are performed by the entity. Which one of the following statements is classified as an advantage when using the periodic inventory system?Select one:a.Provides real-time information that could aid management in making important decisionsb.Reduces the need for physical inventory countsc.Greater control over inventoryd.Cost-efficient and easy to maintain

The periodic system and perpetual system will always produce the same amounts for cost of goods sold and inventory when the FIFO inventory method is used.Group startsTrue or FalseTrue, unselectedFalse, unselected

The periodic inventory system is difficult to maintain.Select one:True False