Perpetual Inventory

What Does Perpetual Inventory Mean?
An accounting method of maintaining up-to-date property records that accurately reflect the level of goods on hand.

Investopedia explains Perpetual Inventory
The current balance of inventory is sustained daily by the addition of inventory to the account when goods are received and the deduction from the account when they are used. This method, as opposed to a yearly or monthly calculation, allows for a company to have more timely and accurate data on inventories.