When Goods Are Shipped on Consignment

question 93

Multiple Choice

When goods are shipped on consignment

• A)revenue should be recognized by the manufacturer or seller on delivery.
• B)revenue should not be recognized by the manufacturer or seller on delivery.
• C)the risk of ownership of the goods is passed on to the distributors.
• D)they are always counted in the customer's inventory.

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Definitions:

Sales Presentation

An organized effort by a salesperson to demonstrate a product or service to potential buyers, aiming to make a sale.

Prospect

An identified individual who may have an interest in a company's offerings, either a product or a service.

Event Planner

A professional responsible for organizing and coordinating all aspects of events, such as meetings, conferences, and social gatherings, ensuring they run smoothly.

Spontaneity

The quality of being unrehearsed or unpremeditated, often leading to genuine and immediate reactions or actions.