Shipping Out of town orders are shipped common carrier FOB Destination. Recently, Ed had a brief meeting with the twins about the possibility of sending the bulk of freight shipments through one common carrier, Mediocre Freight. The advantage to Mary’s Sunshine would be a rebate paid quarterly of up to 15% of freight charges. Based on prior years' business, this rebate would total in excess of $15,000 per year. Without giving this practice much thought, Ed told the twins to begin using Mediocre Freight as much as possible. The twins take all of the approved orders, find and box the merchandise and prepare a bill of lading for the carrier. The twins send their copy of the sales order marked "shipped" and a copy of the bill of lading to Mary. After an order has been shipped, the twins update the inventory cards to keep an accurate record of items on hand. At the end of the week, all of the inventory cards are reviewed and a weekly inventory report is prepared.

Belated shipping company. create a system flowchart.

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