You have been given full responsibility for the stocktaking of your company's inventory and ~s subsequent valuation. There are approximately 4000 different categories of stock, ranging from small components to finished products.

(a) Detail the factors required in order to achieve an efficent stocktake and inventory valuation.

(b) How would you recognize and deal with obsolescent stock and slow-moving stock?

(c) What is a perpetual inventory system? What benefits would accrue from its installation?