Which method requires all items to be counted and compared to the number on hand?

Study for the Sterile Processing Technician Exam. Review flashcards and multiple choice questions, with hints and explanations for each question. Prepare for your certification exam!

The method that requires all items to be counted and compared to the number on hand is the yearly physical inventory. This practice involves a comprehensive count of all inventory items within a defined period, typically conducted annually. The main purpose is to ensure that the physical counts match the records in the inventory system, which helps to identify discrepancies due to loss, damage, or accounting errors.

During a yearly physical inventory, technicians systematically count each item, recording the quantities and then comparing these figures to the inventory system's records. This method provides a clear snapshot of inventory levels and is crucial for financial reporting and operational planning.

While cycle counts and periodic inventories do involve counting items, they do not usually require a complete inventory of all items at once. Cycle counting involves counting a small subset of inventory on a rotating basis throughout the year, and periodic inventory generally means counting items at specific intervals, but not necessarily on an annual basis or with a complete comparison against all items on hand. Hence, the yearly physical inventory is uniquely aligned with the requirement of counting and comparing all items.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy