Under the perpetual system cash freight costs incurred by the buyer for the transporting of goods is recorded in

Name: Under the perpetual system cash freight costs incurred by the buyer for the transporting of goods is recorded in
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Under the perpetual system, cash freight costs incurred by the buyer for transporting goods are added to the cost of inventory, hence recorded in Inventory. This is because these costs are considered necessary to bring the goods to a saleable condition and location.

Under the Perpetual System Cash Freight Costs Incurred by the Buyer