If a Purchaser Using a Perpetual System Agrees to Freight

question 197

Multiple Choice

If a purchaser using a perpetual system agrees to freight terms of FOB shipping point, then the

• A)Inventory account will be increased.
• B)Inventory account will not be affected.
• C)seller will bear the freight cost.
• D)carrier will bear the freight cost.

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Definitions:

Simple Random Sampling

A sampling method where each member of the population has an equal chance of being selected, ensuring unbiased representation.

Stratified Simple Random Sampling

A sampling method that divides a population into smaller groups or strata and then selects random samples from each stratum.

Convenience Sampling

A nonprobability method of sampling whereby elements are selected for the sample on the basis of convenience.

Nonprobabilistic Sampling

A sampling method where the elements of the population do not have a known or equal chance of being selected.