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agree with Mr Frank .................................
A perpetual inventory system involves recording every receipt and issue of stock as it occurs on bin cards and stores ledger accounts. This means that there is a continuous record of the balance of each item of stock. The balance on the stores ledger account as such represents the stock on hand and and this balance is used in the calculation of closing stock in monthly and annual accounts.
Continuous stocktaking is the process of counting and valuing selected items at different times on a rotating basis. It involves a specialist team counting and checking a number of items each day, so that each item is checked at least once a year.
