Exercise $4-5($Static$)$ Determining inventory ownership and costs in transit LO P$1$

For each transaction of Sealy Company,

$($a$)$ determine whether or not Sealy owns the goods during transit.

$($b$)$ If Sealy is responsible for transportation costs, record the entry for shipping costs assuming they are paid in cash and perpetual inventory system is used.

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

Determine whether or not Sealy owns the goods during transit.

$\backslash$table$[[$Transaction$,\backslash$table$[[$Sealy has$],[$Ownership$?]]],[1.$ Purchased goods FOB shipping point. Transportation costs are $$600.,],[2.$ Sold goods FOB destination. Transportation costs are $$200.,],[3.$ Sold goods FOB shipping point. Transportation costs are $$350.,],[4.$ Purchased goods FOB destination. Transportation costs are $$125.,]]$