Which of the following are the three methods used in inventory management?

• A. Visual Method
• B. Periodic Method
• C. Perpetual Method
• D. All of the above

Answer: (D)

Tracking inventory relies on different approaches to recording stock levels and updating records. The perpetual method keeps a running tally of inventory with every sale or purchase, providing real-time visibility and quick detection of discrepancies. The periodic method updates records only at set intervals after physical counts, which is simpler and cheaper but doesn’t reflect changes as they happen and requires a period-end adjustment for cost of goods sold. The visual method uses straightforward, manual checks—seeing what’s on the shelves and roughly counting items by eye—to confirm stock presence and correct display, useful for quick verification or when formal systems aren’t available.

Each approach serves a different need, so many operations combine them: perpetual for high-turnover or tech-enabled stock, periodic for lower-cost or lower-volume items, and visual checks as quick verification or when systems fail. Because all three are used in practice, selecting all of the above is the best answer.