Solved

Texas IncSold Merchandise to Fagin Corp

Question 21

Multiple Choice

Texas Inc.sold merchandise to Fagin Corp.on December 28, 2014, with shipping terms of FOB destination.Fagin Corp.received the merchandise on January 3, 2015.Which one of the following statements is true?


A) Texas should record sales revenue on December 28, 2014.
B) Fagin Corp.should pay the transportation costs.
C) Fagin Corp.should include the merchandise in its inventory at December 31, 2014.
D) Fagin Corp.should record a liability for the purchase on January 3, 2015.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents