When an Acquisition Is on an FOB Origin Basis, the Inventory

question 95

Multiple Choice

When an acquisition is on an FOB origin basis, the inventory and related accounts payable must be recorded in the current period if the goods were:

• A) shipped prior to the balance sheet date.
• B) both shipped and received prior to the balance sheet date.
• C) paid for in advance.
• D) received prior to the balance sheet date.

---

Definitions:

Generativity

A concern for establishing and guiding the next generation, often considered a stage of personal development in adulthood.

Midlife Crisis

A period of emotional turmoil in middle age characterized by a strong desire for change, often resulting from the realization of aging and mortality.

Middle-Aged Adults

Individuals typically between the ages of 40 and 65, often experiencing significant life and biological changes including career dynamics, family responsibilities, and health transitions.

Psychosocial Generativity

A concept involving the concern for establishing and guiding the next generation, often associated with midlife development.