The purpose of "cycle counting" is to:
A) count all the items in inventory.
B) determine the optimum re-order point.
C) reduce discrepancies between inventory records and actual.
D) reduce theft.
E) none of the choices.

Question

Quizplus · Accepted Answer

The purpose of cycle counting is to reduce discrepancies between inventory records and actual inventory. By conducting small and frequent counts of a subset of inventory items, any discrepancies can be identified and corrected promptly. This helps improve the accuracy of inventory records and reduce the likelihood of stockouts or overstocking.

The Purpose of "Cycle Counting" Is To