Ask Question
BusinessBusiness
11 January, 21:24

When goods are shipped FOB destination:

A. revenue is recognized only after cash payment is received.

B. revenue is recognized when the goods leave the shipping dock.

C. revenue is recognized when the goods are received by the customer.

D. revenue is recognized when the invoice is mailed to the customer.

+1
Answers (1)
  1. 11 January, 21:48
    0
    The correct answer is C. revenue is recognized when the goods are received by the customer.

    Explanation:

    In this type of sales, where the sale is agreed at the destination port, the effective sale is registered when all the internal and external processes of export, nationalization and transportation of the merchandise have been overcome. Even before this, you should not recognize the income, since any situation can alter nature and cause a non-existent sale.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “When goods are shipped FOB destination: A. revenue is recognized only after cash payment is received. B. revenue is recognized when the ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Southwest U's campus book store sells course packs for $19 each. The variable cost per pack is $12, and at current annual sales of 43,000 packs, the store earns $75,000 before taxes on course packs.
Answers (1)
In Cuba, what determines what is produced, how much is produced, and what prices good are sold at? A. the government B. the principles of supply and demand C. individuals and businesses D. the global market
Answers (1)
Carla is about to graduate from her business program. she has always been happiest in jobs where she never knew what would be waiting for her when she got to work that day, and she excels at problem solving. she should seek a career that involves:
Answers (1)
A city paid $40,000 for police cars with the expectation that they would have a useful life of 4 years. After 3 years, the city sold the cars for $3,000. How should the city account for the sale in the General Fund?
Answers (1)
Using the acquisition method, a company acquires all of the shares of stock of another company. In-process research and development is present and estimated to have a $300,000 fair value.
Answers (1)
New Questions in Business
Select three situations when an agency can perform a warrantless search. a. highly regulated industries b. personal services c. exporting businesses d. emergency situations e. certain types of hazardous operations f. internet businesse
Answers (1)
Which of the following payroll deductions is required by law?
Answers (1)
What is the most difficult unit of the 1040EZ tax form to fill out? Why?
Answers (1)
If you purchase or obtain a vehicle from someone else, you are responsible for transferring ownership of the vehicle to your name with the dmv within how many days of the purchase?
Answers (1)
What law created the federal reserve system? Sherman Antitrust Act Social Security Act Appropriations Act Federal Reserve Act
Answers (1)
Home » Business » When goods are shipped FOB destination: A. revenue is recognized only after cash payment is received. B. revenue is recognized when the goods leave the shipping dock. C. revenue is recognized when the goods are received by the customer. D.
Sign Up Forgot Password?