Accountıng I Deneme Sınavı Sorusu #1231238

If the shipment type is FOB destination,which of the following party is responsible for the transportation?


The Buyer

The Seller

The Carrier

The Bank

The Warrantor


Yanıt Açıklaması:

If the shipment type is FOB destination, transportation is under the seller’s responsibility. Freight cost is not included in the cost of goods; therefore, this type of shipment is called “freight out”. The freight cost is recognized as delivery expense, in the accounting records of the seller.

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