period inventory system]

period inventory system is a method of inventory management where inventory levels are updated periodically, typically at the end of each accounting period. Under this system, businesses do not track inventory continuously but instead perform a physical count at regular intervals. The period inventory system is ideal for businesses with a large volume of goods or those that do not need real-time inventory data. While it is less labor-intensive than a perpetual inventory system, it may result in less accuracy in inventory tracking between updates.