Students should write a full report to compare between applying the periodic inventory system and the perpetual inventory system. Applying one of these two methods should show significant differences. Therefore, students should discuss the following ideas: 1. Where each of these methods can be applicable and why. 2. What is the effect of using FIFO and WA methods on each of the two systems? 3. What is the requirements for applying any of these two systems? 4. What is the effect of applying the any of the two systems on the financial statements and in turn on the decisions of the users of the financial statements