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Figure 16.4
Using the figure above, identify the labeled structure(s) in each of the following questions.
-Identify the structure indicated by Label X.
Merchandise Inventory
Refers to the products a company has in stock that are available for sale to customers.
Accounts Payable
Liabilities of a company representing amounts owed to creditors for goods and services that were purchased on credit.
Store Equipment
Fixed assets or long-term assets purchased for the operation of a store, such as shelves, register systems, and furniture, which are used in the business over several years.
F.O.B. Shipping Point
A shipping term indicating that the buyer takes ownership and responsibility for goods once they are shipped, and is responsible for shipping costs.
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