During the current financial year, items of a product range (product group) are constantly recorded (inventoried) in terms of quantity. The selection procedure for the items to be inventoried must be selected in such a way that all items have been recorded at least once on the closing date (generally the end of the financial year). The inventory is updated on an item-by-item or location-by-item basis through permanent, prompt posting of additions and disposals and is determined on the reporting date without any further inventory.
This procedure is chosen, for example, if an inventory on the key date is not desirable or not feasible for technical or organizational reasons.

Source: logipedia / Fraunhofer IML