Multiple choice If title to merchandise purchases passes to the buyer when the goods are shippedfrom the seller, the terms aredea. n/30h FOB shipping pointFOB destinationC.d. consignedwhen goods are shipped FOR destination and the seller pays the transportationcharges, the buyer4.a. journalizes a reduction for the cost of the merchandise.b. journalizes a reimbursement to the seller.does not take a discount.C.d.makes no journal entry for the transportation.nhandise on account FOB shipping point,f the

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If title to merchandise purchases passes to the buyer when the goods are shipped from the seller, the terms are a. n/30 FOB shipping point FOB destination d. consigned b. C.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 18MC: Which two accounts are used to recognize shipping charges for a buyer, assuming the buyer purchases...

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Question

Multiple choice

If title to merchandise purchases passes to the buyer when the goods are shipped
from the seller, the terms are
de
a. n/30
h FOB shipping point
FOB destination
C.
d. consigned
when goods are shipped FOR destination and the seller pays the transportation
charges, the buyer
4.
a. journalizes a reduction for the cost of the merchandise.
b. journalizes a reimbursement to the seller.
does not take a discount.
C.
d.
makes no journal entry for the transportation.
nhandise on account FOB shipping point,
f the

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