CRCST Practice Exam

In which inventory system are the items owned by the vendor but stored at the healthcare facility?

1. Consignment

2. Perpetual

3. Just-In-Time

4. Periodic

The correct answer is: Consignment

In a consignment inventory system, the items are owned by the vendor but stored at the healthcare facility. This means that the healthcare facility does not have to pay for the items until they are used, which can help with cash flow and reduce the risk of holding onto excess inventory. This option aligns with the definition of consignment inventory. The other options: - Perpetual inventory system involves continuously updating records for each transaction, such as purchases, sales, and returns of inventory items. - Just-In-Time inventory system aims to have materials delivered just as they are needed in the production process, minimizing the need for storage space and excess inventory. - Periodic inventory system involves taking a physical count of inventory on a regular basis rather than continuously updating records for each transaction.