Explain fob shipping point freight collect, Accounting Basics

Assignment Help:

Q. Explain FOB shipping point freight collect?

FOB shipping point freight collect - Buyer both initially pays and incurs the freight chargers. The proper party (buyer) paid the shipment. The buyer debits Transportation-In as well as credits Cash.

FOB destination freight prepaid - Seller both initially pays and incurs the freight charges. The proper party (seller) paid the shipment. The seller debits Delivery Expense as well as credits Cash.

FOB shipping point freight prepaid - Buyer incurs the freight chargers as well as seller initially pays the freight charges. Buyer should reimburse seller for freight charges. The seller debits Accounts Receivable as well as credits Cash upon paying the freight. The buyer debits Transportation-In in addition to credits Accounts Payable when informed of the freight charges.


Related Discussions:- Explain fob shipping point freight collect

Concepts of accounting, implication of applying aacounting concept wronly

implication of applying aacounting concept wronly

Explain about perpetual inventory procedure, Q. Explain about perpetual inv...

Q. Explain about perpetual inventory procedure? When discussing inventory we require clarifying whether we are referring to the physical goods on hand or the Merchandise Invent

What is cost of goods sold, Q. What is Cost of goods sold? The second m...

Q. What is Cost of goods sold? The second major division of an income statement for a merchandising business is cost of goods sold. Cost of goods sold is denotes to cost to the

Advantages and disadvantages of weighted-average, Q. Show Advantages and di...

Q. Show Advantages and disadvantages of weighted-average? Advantages and disadvantages of weighted-average when a company utilizes the weighted average method and prices are ri

Prepare the journal entries, Prepare the Journal Entries Journalize th...

Prepare the Journal Entries Journalize the following business transactions in general journal form. Identify each transaction by number. You may omit explanations of the tr

Transaction help, If my company sells 4000 shares of common stock for $86,4...

If my company sells 4000 shares of common stock for $86,400, how do I record this in the Journal?

Final accounts, stpes to be taken prepaing for final accounts

stpes to be taken prepaing for final accounts

Analysis on the organizational assessment study dataset, Complete a descrip...

Complete a descriptive analysis of the following data elements in the Organizational Assessment Study dataset. Use appropriate graphical tools and descriptive statistics to charact

Journal Entries, For my accounting class, how would I journalize the adjust...

For my accounting class, how would I journalize the adjusting entry for Annual depreciation is $3,480 on the building with the building amounting to $76,000 on the trial balance fo

What do you mean by stock, Q. What do you mean by Stock? Stock -- a cer...

Q. What do you mean by Stock? Stock -- a certificate (or electronic or other record) which indicates ownership of a portion of acorporation; a share of stock. Preferred stock p

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd