What happens when merchandise is delivered FOB shipping point?Multiple ChoiceOO The seller records transportation-out expense.OThe buyer records transportation cost as an expense.OThe buyer pays the freight cost.The seller pays the freight cost.

Ans. The buyer pays the freight cost

What happens when merchandise is delivered FOB shipping point? Multiple Choice O O O O The buyer records transportation cost as an expense. The seller records transportation-out expense. The buyer pays the freight cost. The seller pays the freight cost.

What happens when merchandise is delivered FOB shipping point? Multiple Choice O O O O The buyer records transportation cost as an expense. The seller records transportation-out expense. The buyer pays the freight cost. The seller pays the freight cost.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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What happens when merchandise is delivered FOB shipping point?
Multiple Choice
O
O The seller records transportation-out expense.
O
The buyer records transportation cost as an expense.
O
The buyer pays the freight cost.
The seller pays the freight cost.

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