MANAGEMENT

Detailed explanation-1: -Perpetual inventory systems may be preferable to older periodic inventory systems because they allow for immediate tracking of sales and inventory levels for individual items, which helps to prevent stockouts.

Detailed explanation-2: -Perpetual inventory is a continuous accounting practice that records inventory changes in real-time, without the need for physical inventory, so the book inventory accurately shows the real stock. Warehouses register perpetual inventory using input devices such as point of sale (POS) systems and scanners.

Detailed explanation-3: -The periodic inventory system uses an occasional physical count to measure the level of inventory and the cost of goods sold. The perpetual system keeps track of inventory balances continuously, with updates made automatically whenever a product is received or sold.

Detailed explanation-4: -Perpetual inventory is an accounting method in which a business continuously tracks its inventory levels in real-time.