Quality Watches,Inc.,ships an assortment of timepieces to Retail Jewelers,Inc.,which agrees to pay for items that are not re?turned within six months.This is

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This type of transaction is known as sale or return, where the goods are shipped to the buyer, but the ownership is retained by the seller until the buyer pays for the items or decides to keep them beyond the agreed-upon return period. Therefore, Quality Watches, Inc. is taking a risk by shipping the items, but they have the potential to make a sale and receive payment if Retail Jewelers, Inc. decides to keep the timepieces.