For each description below, identify the inventory system as either periodic or perpetual.
a. Requires a physical count of inventory to determine the amount of inventory to report on the balance sheet.
b. Records the cost of goods sold each time a sales transaction occurs.
c. Provides more timely information to managers.
d. Was traditionally used by companies such as drug and department stores that sold large quantities of low-valued items.
e. Requires an adjusting entry to record inventory shrinkage.