When the transportation charges are paid by the seller, merchandise is shipped a. FOB destination b. FOB shipping c. FOB carrier d. Prepaid
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Q: shipments to branch
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- Which of the following is an example of a contra revenue account? A. sales B. merchandise inventory C. sales discounts D. accounts payableWhich of the following is not a characteristic of FOB Shipping Point? A. The buyer pays for shipping. B. The buyer owns goods in transit. C. The point of transfer is when the goods leave the sellers place of business. D. The point of transfer is when the goods arrive at the buyers place of business.If title to merchandise purchases passes to the buyer when the goods are delivered to the buyer, the terms are a. consigned b. n/30 c. FOB shipping point d. FOB destination
- SLO-5.2. Using the term means that the buyer will pay the freight charges of the merchandise to the buyer's place of business. OFOB Shipping Point OFOB Destination OTrade Discount OQuantity DiscountWhen the seller advances the transportation costs and the terms of sale are FOB shipping point, the seller records the payment of the transportation costs by debiting a. Accounts receivable b. Sales c. Accounts payable d. Transportation inFOB destination of a Merchandise Business means: a. Goods are placed free on board to the buyer's place of business. b. Seller is responsible for paying the freight charges. c. Buyer is responsible for paying the freight charges. d. Seller ships the goods to buyer destination without charge to the buyer
- If the buyer is to pay the transportation costs of delivering the merchandise, delivery terms are stated as O A. FOB shipping point O B. FOB destination C. FOB shipping destination O D. FOB buyerMatch each phrase with its definition. 1. Seller's description of a cash discount granted to buyers in return for early payment. 2. The amount of time allowed by a seller before payment is due from the buyer. 3. Time period in which a cash discount is available. 4. Refers to credit terms where goods in transit are owned by the seller. 5. Refers to credit terms where goods in transit are owned by the buyer. 6. Calculated as net sales minus cost of goods sold. 7. A current asset that includes the cost to buy goods and make them ready for sale. 8. Purchaser's description of a cash discount received from a supplier of goods.8.When a product is sold on credit, which account should be debited for the seller? A.cash B.Inventory C.A/P D.A/R
- Terminology Match each phrase with its definition. A. Sales discount B. Credit period C. Discount period D. FOB destination E. FOB shipping point F. Gross profit G. Merchandise inventory H. Purchases discount 1. 2. 3. 4. 5. 6. 7. 8. Goods a company owns and expects to see to its customers. Time period that can pass before a customer's full payment is due. Seller's description of a cash discount granted to buyers in return for early payment. Ownership of goods is transferred when the seller delivers goods to the carrier. Purchaser's description of a cash discount received from a supplier of goods. Difference between net sales and the cost of goods sold. Time period in which a cash discount is available. Ownership of goods is transferred when delivered to the buyer's place of business. 1Freight on Board (FOB) shipping point requires that the seller pays the shipping cost.. True or FalseThe arrangements between buyer and seller as to when payments for merchandise are to be made are called? O A. Credit terms O B. Net cash C. Cash on demand O D. Gross cash