In _____,the seller pays all or part of the actual freight charges and does not pass them on to the buyer.
A)free on board origin pricing
B)freight absorption pricing
C)uniform delivered pricing
D)basing-point pricing

Question

In _____,the seller pays all or part of the actual freight charges and does not pass them on to the buyer.
A)​free on board origin pricing
B)freight absorption pricing
C)uniform delivered pricing
D)​basing-point pricing

Quizplus · Accepted Answer

Freight absorption pricing is when the seller pays all or part of the actual freight charges and does not pass them on to the buyer. Option A, free on board origin pricing, refers to when the buyer is responsible for paying the freight charges. Option C, uniform delivered pricing, is when the shipping cost is the same for all buyers, regardless of their location. Option D, basing-point pricing, involves charging different prices based on the distance between the buyer and a certain "basing point" where the seller's manufacturing or distribution center is located.

In _____,The Seller Pays All or Part of the Actual