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  2. The perpetual inventory system formula involves the following components1234:
    Learn more:
    The perpetual inventory formula is very straightforward. Beginning Inventory (usually from a physical count) + receipts - shipments = Ending Inventory.
    en.wikipedia.org/wiki/Perpetual_inventory
    Two popular formulas used within the perpetual inventory management systems are the Economic Order Quantity Formula (EOQ) and the Cost of Goods Sold Formula (COGS). EOQ calculates the optimal order quantity in order to minimize holding costs and ordering costs, whereas COGS helps determine the cost of inventory sold during a specific period.
    intuendi.com/resource-center/perpetual-inventory/
    Companies that use a material requirement planning (MRP) system for production must also maintain perpetual inventory. Companies can use the following formula to calculate their perpetual inventory's ending inventory: Ending Inventory = Beginning inventory + Receipts - Shipments
    www.deskera.com/blog/perpetual-inventory-system/
    The EOQ formula is the square root of: [2 (demand rate) (setup costs)] / holding costs Q= √2DS/H Q = The number of EOQ units D = Annual demand for product S = Setup costs, or how much one order costs per purchase H = Holding costs, which is the total cost of holding inventory
    www.shopify.com/retail/perpetual-inventory
     
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