Distinguish between FOB shipping point and FOB destination. Identify the freight terms that will result in a debit to Inventory by the purchaser and a debit to Freight-Out by the seller.

Q: What is freight in on purchases?

A: Purchases are the transaction where in the buyer purchases goods and services from a seller by…

Q: Distinguish between FOB shipping point and FOB destination. Identify the freight terms that will…

A: The invoice is made by seller based on different terms including discount, and other terms as FOB…

Q: When the goods are received and the receiving report has been prepared, which ledger may be…

A: Inventory: Inventories are the primary materials which are used in the production process to get the…

Q: If title to merchandise purchases passes to the buyer when the goods are delivered to the buyer, the…

A: FOB shipping point sale: FOB shipping point sale: When the goods are shipped to the buyer, the title…

Q: Valuing Inventory and Recording Entries Using Relative Sales Value Method

A: Inventory valuation is very important and is generally done at the end of the accounting year. The…

Q: The return of goods by a customer ( Sales Return ) should be credited in the ledger account of ?

A: Sales return in accounting is used to refer the goods or item once purchased and returned to the…

Q: When the goods are received and the receiving report has been prepared, which ledger may be updated?…

A: Inventory: Inventories are the primary materials which are used in the production process to get…

Q: Which of the following statements is correct? Group of answer choices A)Revenue is recognized at the…

A: A)Revenue is recognized at the time of shipment when goods are shipped FOB destination-The given…

Q: If title to merchandise purchases passes to the buyer when the goods are shipped from the seller,…

A: Free on Board is a trade term used to indicate whether the buyer or the seller is liable for goods…

Q: Which of the following expenses would you regard as part of the cost of goods sold? Select one: O a.…

A: Freight in is included in the cost of material. And cost of material is included in cost of goods…

Q: Describe FOB shipping point and FOB destination. When does the buyer take ownership of the goods,…

A: Transportation Costs: The costs of delivering the merchandise inventory from the manufacturer to the…

Q: Which of the following is not a name for a specific type ofinventory?a. Finished goods. c. Raw…

A:

Q: What document signals that a company should record thepurchase of goods on account?a. Purchase…

A:

Q: It is used to show who is responsible for paying for shipping and when the title of the goods passes…

A: Payment term used to show who is responsible for paying for shipping and when the title of the goods…

Q: he shipments from branch account is added to the branch's purchases account in determining branch's…

A: solution concept The shipments to branch account from head office forms the part of the cost of…

Q: Distinguish between FOB Shipping Point and FOB Destination. Identify the freight terms that will…

A: The letter FOB means Free On Board. Those goods that are placed free onboard the carrier by the…

Q: Who is responsible for releasing an order? Describe what happens to the inventory records andto PAC…

A: The person responsible for releasing an order is the material planner.

Q: What account is debited when recording the payment of freight in when using the periodic inventory…

A: Definition:

Q: If the sale includes the seller paying the freight costs and assuming the responsibility for…

A: FOB shipping point sale: When the goods are shipped to the buyer, the title is transferred to the…

Q: t happens after the shipping department verifies that the quantities and descriptions of goods…

A: The sale order may be defined as the order which is generated by the seller of the goods to the…

Q: When goods in transit are shipped f.o.b shipping point they shoule be included in the inventory of…

A: Solution: Goods in transit shipped FOD destination should belongs to buyer as they once shipped…

Q: For purposes of computing the MCIT, which will not form part of cost of goods sold for traders:…

A: MCIT is minimum corporate income tax, which is being payable by the domestic companies. The rate…

Q: For each of the following statements, enter a T or and FI the blank to mdicate whether the statement…

A: As posted multiple independent questions we are answering only first question kindly repost the…

Q: Which method tracks the actual physical flow of goods and each item of inventory is marked, tagged,…

A: The correct option in no. 1 question is d. Specific identification method

Q: Which of the following feature/s related to FOB shipping point under shipping terms, except?

A: Solution- FOB shipping point – Notes responsibility of goods and title transfer from seller to buyer…

Q: Who bears the freight when the terms of sale are (a) FOB shipping point, (b) FOB destination?

A: (a)If the sale is made with the terms FOB shipping point, the goods' ownership is transferred at the…

Q: If the buyer is to pay the freight costs of delivering merchandise, delivery terms are stated as Da.…

A: Cost of goods sold: It refers to the overall cost incurred by a company for the production of the…

Q: Which of the following included in the buyer's cost? A. All the descriptions are tight. B. Insurance…

A: Inventory cost refers to the cost that is related to the business associated with the holding…

Q: The buyer should be responsible for the freight (legally) but the seller paid for it A. FOB shipping…

A: FOB destination stands for freight on board, is an incoterm which is used when there is trade…

Q: What is freight out, and how is it recorded by the seller?

A:

Q: The factor that determines whether goods should be included in a physical count of inventory is…

A: Physical count helps in tracking the inventory and efficiency of management control.

Q: The ownership of goods is transferred upon receipt of the goods by the buyer and the seller is the…

A: The invoice is prepared at the time of sale of goods on credit. The invoice details about the…

Q: It is used to who is responsible for paying shipping and when the title of the goods passes from…

A: The goods and services are usually exchanged between two parties. One is seller and the other is…

Q: ccount used under periodic system to record returns of purchased goods to the suppl

A: Solution: Under periodic inventory system, inventory records for each purchase and sale are not…

Q: The FOB term is used with an identified physical location to determine a. None of the options b. The…

A: Solution: The FOB term is used with an identified  physical location to determine "Both the…

Q: A company indicates the condition of goods obtained onwhich of the following documents?a. Purchase…

A: Answer:   Option c.

Q: When goods are received, the receiving clerk should match the good with_____?          A. The…

A: Under generally accepted accounting principles, Double entry accounting system has to be followed…

Q: The journal entry to record the payment of freight cost under the perpetual inventory system is as…

A: Given transaction is: Payment of freight cost under the perpetual inventory system

Q: If the buyer is to pay the transportation costs of delivering the merchandise, delivery terms are…

A: Under FOB destination, titles of goods are transferred to the buyer only when goods are delivered to…

Q: Who is responsible for the freight cost when the terms are FOB destination? Please explain with full…

A: FOB: FOB means "Free on Board", also known as "Freight on Board". It is important to decide who is…