What term describes the computer record or manual document in which each inventory transaction is posted to maintain a current inventory record?

• A. Perpetual inventory record
• B. Cycle count file
• C. Physical inventory snapshot
• D. Inventory ledger

Answer: (A)

The question is about how inventory transactions are tracked so the balance stays current. The term used for the record that is updated with every receipt, issue, or adjustment to reflect an up-to-date stock level is the perpetual inventory record. This type of record is central to a perpetual inventory system, which continuously updates the balance for each item as transactions occur, providing real-time visibility into stock and cost of goods sold.

Cycle count files are used to guide and document periodic physical counts of selected items, not to maintain a live balance. A physical inventory snapshot is a one-time or periodic tally of actual stock, not an ongoing update. An inventory ledger is a general term for records of transactions, but the emphasis on updating after every transaction to keep a current balance is specific to the perpetual inventory record.