Midterm SP 2010 A
If A sells to B, and B holds title while goods are in transit, the goods were shipped ____ __
? If C
sells to D, and C maintains title until the goods arrive at D's door then the goods were
FOB shipping point, FOB destination
FOB destination, FOB shipping point
FOB destination, FOB destination
FOB shipping point, FOB shipping point
When goods are sold on credit, revenue usually should be recognized at the date of
receipt of the sales order
passage of title from the seller to the buyer.
receipt of the goods by the buyer.
manufacture of the goods.
cash collection of the sales price.
Dart Company incurred the following costs during 2010:
What was the amount of direct materials & direct labor used in 2010?
Direct Materials, $350,000, Direct Labor
Direct Materials, $350,000, Direct Labor $250,000
Direct Materials, $250,000, Direct Labor $100,000
Direct Materials, $100,000, Direct Labor $250,000
Direct Materials, $600,000, Direct Labor $150,000
In our comprehensive problem, how was the balance in Musical Expression's bank account (i.e. cash
account) reported for financial statement purposes?
Current Asset, Balance Sheet
Current Liability, Income Statement
Current Asset, Income Statement
Current Liability, Balance Sheet
It was not required to be reported.