The buyer should be responsible for the freight (legally) but the seller paid for it A. FOB shipping point, freight prepaid B. FOB shipping point, freight collect C. FOB destination, freight prepaid D. FOB destination, freight collect

The buyer should be responsible for the freight (legally) but the seller paid for it A. FOB shipping point, freight prepaid B. FOB shipping point, freight collect C. FOB destination, freight prepaid D. FOB destination, freight collect

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter9: Sales And Purchases

Section: Chapter Questions

Problem 8QY: If the seller assumes the entire cost of transportation, without any reimbursement from the buyer,...

See similar textbooks

Related questions

Q: Required Determine the variance for the following: i) Direct material price ii) Direct material…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Scenario The accounting manual contains instructions for recording sales transactions in the…

A: Audit process and Procedures It is important for the Auditors make effective Audit planning which…

Q: What term is used to refer to denote that creditors usually may not go beyond the assets of the…

A: Unlimited liability is a liability that extends to the personal property of the partners of the…

Q: A bond sells at a discount when the: Multiple Choice Bond has a short-term life. Contract rate is…

A: A bond can be sold at premium, discount or at par.

Q: Required information Use the following information for the Quick Study below. (Algo) [The following…

A: The equivalent units are calculated on the basis of percentage of the work completed during the…

Q: The Post Division of the M.T. Woodhead Company produces basic posts which can be sold to outside…

A: Transfer pricing is a biz accounting technique in which one division charges another division for…

Q: 2) Explain Prudence concept and provide example.

A: Hi student Since there are multiple questions, we will answer only first question.

Q: Cost of goods manufactured $198,240 Selling expenses 66,220 Administrative expenses 35,010 Sales…

A: Aricanly Manufacturing CompanyCost of Goods SoldJanuary 31 Finished goods inventory, January 1…

Q: QUESTION 1: Schedule of Cost of Goods Manufactured: Income Statement. Richmond Chocolates…

A: To Calculate the net income we will follow the following steps 1. Calculate Gross Profit = We will…

Q: From the following particulars taken from the Cash Book of a mask club, prepare a Receipts and…

A: Introduction: The receipt and payments account summarizes a fiscal season's operational cash…

Q: Prepare any necessary journal entries based on the following data regarding the bank reconciliation…

A: Journal entries, in the books of an entity, are recorded to prepare a daily report of the…

Q: . Budgeting involves ________. establishing specific goals executing plans to achieve the…

A: Budgeting: The act of developing a strategy for how to spend your money is known as budgeting. A…

Q: The following units of an inventory item were available for sale during the year: Beginning…

A: Total units are 68 Out of which units sold are 50 given Hence 18 are closing inventory LIFO…

Q: Barton and Fallows form a partnership by combining the assets of their separate businesses. Barton…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: No. 101 Cash 112 Accounts Receivable 157 Equipment 158 Accumulated Depreciation-Equip. Account…

A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…

Q: Q3. (Horngren) Inorganic Chemicals (IC) processes salt into various industrial products. In July…

A: Comment Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the…

Q: Using the following information, what is the amount of gross profit? Purchases $ 30,526 Selling…

A: Introduction: Gross profit : Deduction of cost of goods sold from Net sales value derives the Gross…

Q: The financial condition of two companies is expressed in the following accounting equation: Assets…

A: There is case of realization of assets the amount first realise should be used to meet outside…

Q: The actual cash received from cash sales was $14,953 and the amount indicated by the cash register…

A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…

Q: explain the advantages and limitations of budgetary control in detail

A: Budgetary control is the process of preparing budgets for the future time and comparing them to…

Q: A corporation sold 9,500 shares of its $10 par value common stock at a cash price of $11 per share.…

A: >Issuance of common stock is one of the Financing activity from which the corporation gets Cash…

Q: C. Shelton contributed land, inventory and $58,000 cash to a partnership. The land had a book value…

A: Introduction: Journal entries are created in chronologically and adhere to the double-entry…

Q: t o

A: The End product of an Audit is a report expressing the Auditor's Opinion on the client's financial…

Q: The “AFLV Logistics” company is planning to set up a new investment. The Cost of the investment is…

A: Gross profit = revenue less direct cost Net profit= gross profit less all costs including depression…

Q: Barako Co. developed a trademark to distinguish its products from those of its competitors. Through…

A: Ans. All the direct costs related to trademarks are capitalized and included as the cost of…

Q: Pea Company purchased 70 percent of Split Company's stock approximately 20 years ago On December 31,…

A: Lets understand the basics. When inter company transaction happen then there is requirement to…

Q: Adriana Graphic Design receives $2,200 from a client billed in a previous month for services…

A: Answer:- Account Title Debit Credit Cash 2,200 Account Receivable 2,200

Q: Prior to recording adjusting entries, the Office Supplies account had a $390 debit balance. A…

A: At the end of every reporting period, generally every entity will physically verify the supplies and…

Q: Prepare an income statement for the month ended July 31, 20Y2. Refer to the lists of Accounts,…

A: Computation of Fees earned during the month of July Fess Earned = Cash based fees earned during the…

Q: What influences the materiality of the company being audited?

A: The audit relies heavily on the criterion of materiality. Auditors use it throughout the preparation…

Q: Depreciation Methods 1. A broadcasting corporation purchased an equipment for P53.000.00 and…

A: Business organizations are required to charged the depreciation expense so that the assets are shown…

Q: Energetic and Faithful decided to form a partnership on June 1, 2021 by investing P100,000 and…

A: Partnership is one of the agreement or arrangement between two or more than two persons, in which…

Q: If the cost of an item of inventory is $49 and the current r Oa. $63 Ob. $112 Oc. $49 Od. $14

A: In case of lower of cost or market method of inventory valuation, inventory is measured at cost or…

Q: K Company created a set budget of 50,000 direct labour hours, with variable overhead expenses of…

A: The variable costs are changed with the level of production and fixed costs remains constant for…

Q: A company with 100,000 authorized shares of $4 par common stock issued 50,000 shares at $8.…

A: A dividend refers to the amount of profit that the shareholders get on each share purchased by them.…

Q: Is there a distinction between management and financial accounting?

A: Lets understand the basics. As the name suggest financial accounting more focus on the financial…

Q: Year 0 1 2 Recognized Gain

A: Year Recognized Gain ($) 0 0 1 0 2 125000

Q: Incredible and Joyful are partners who share profit on a 60:40 ratio. At the end of 2021, the…

Q: Kelley paint company uses the weighted average method to account for costs of production. Kelley…

A: Introduction: Process costing is a method for assigning costs of manufacturing to the units…

Q: Mayan Company had net income of $32,980. The weighted-average common shares outstanding were 9,700.…

A: Earning per Share (EPS) refers to a company how much earning can able to generate towards its…

Q: The following data are taken from an unadjusted trial balance at December 31, 2019: Prepaid rent $…

A: The adjustment entries are prepared to adjust the revenue and expenses of the current period.

Q: On December 31, Strike Company sold one of its batting cages for $10,952. The equipment had an…

A: Formulas: Gain (Loss) on the sale of the assets = Sale value of the assets - Net book value of the…

Q: Seth Feye established Reliance Financial Services on July 1, 20Y2. Reliance Financial Services…

A: A cash flow statement is a financial statement that shows all cash inflows, such as profits from…

Q: During January 2020, ABC Company which maintains a perpetual inventory system, recorded the…

A: Introduction: Under the moving average method of inventory valuation, cost of sale as well as cost…

Q: On June 30, 2021, Arlington Company issued $2,100,000 of 10-year, 3% bonds, dated June 30, for…

A: The bonds are the financial instruments that are used to raise money from the market.

Q: Apr. 8 Sold merchandise for $1,900, with credit terms of 1/10, n/30; invoice dated April 8. Cost of…

A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals ae…

Q: Define private limited liability business with appropriate examples. Briefly explain three main…

A: Corporations- A corporation is typically formed by an individual, a group of individuals, or another…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: Cash received on issue of 2000 preferred stock at par = 2000 ×$100 = $200000

Q: Entries Related to Uncollectible Accounts The following transactions were completed by The Wild…

A: 2.a. Transactions under the allowance method Date Account title Debit Credit Jan 19 Accounts…

Q: Cost of goods manufactured $198,240 Selling expenses 66,220 Administrative expenses 35,010 Sales…

A: In order to determine the cost of goods sold, the ending finished goods inventory are required to be…

Question

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Financial Reporting in Hyperinflationary Economies

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Which 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.
Which of the following is not a characteristic of FOB Destination? A. The seller pays for shipping. B. The seller 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.
The ownership of goods is transferred upon receipt of the goods by the buyer and the seller is the owner of the goods while in transit A. FOB Destination Point B. FOB Shipping Point C. Freight prepaid D. Freight collect
Distinguish between FOB shipping point and FOB destination. Identify the freight terms that will result in a debit to Inventory by the buyer and a debit to Freight-Out by the seller.
Distinguish between FOB Shipping Point and FOB Destination. Identify the freight terms that will result in a debit to Inventory and which one will result in a debit to Freight expenses by the seller.
Which of the following feature/s related to FOB shipping point under shipping terms, except? a. Title and control of the goods the moment the carrier signs the bill of lading with the buyer b. Buyer assumes risk of transportation and is entitled to route the shipment c. Buyer is responsible for filing claims for loss or damage d. Seller is responsible for filing claims for loss or damage.
Which of the following is not a characteristic of FOB Destination?A. The seller pays for shipping.B. The seller owns goods in transit.C. The point of transfer is when the goods leave the seller’s place of business.D. The point of transfer is when the goods arrive at the buyer’s place of business
Freight on Board (FOB) shipping point requires that the seller pays the shipping cost.. True or False
3 In accounting for consignment sales, sales revenue and the related cost of goods sold should be recognized by the Group of answer choices Consignor when the goods are shipped to the consignee Consignee when cash is received from the customer Consignor when notification is received that the consignee has sold the goods Consignor when the goods are shipped to the third party
21.This is a situation where the seller actually paid the freight charges but is not legally responsible for the same. a. FOB destination, freight prepaid b. FOB destination, freight collect c. FOB shipping point, freight prepaid d. FOB shipping point, freight collected
In deciding whether to accept a special order, freight charges paid by the buyer are relevant. a) True b) False
What is freight out, and how is it recorded by the seller?