Question Details

Sales revenues are earned during the period cash is collected from the buyer



1. Freight terms of FOB Destination means that the seller pays the freight costs.
2. Freight costs incurred by the seller on outgoing merchandise are an operating expense to
the seller.
3. Sales revenues are earned during the period cash is collected from the buyer.
4. The Sales Returns and Allowances account and the Sales Discount account are both
classified as expense accounts.
5. The revenue recognition principle applies to merchandisers by recognizing sales revenues
when they are earned.



Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help