1. Research the following:

• FOB destination
• FOB shipping point
• Terms (ex. 1/10, n30)
• Provide an example of how Terms (ex. 1/15, n30) can save the purchaser money and why it is beneficial for a seller to offer Terms.

2. Assume that you are the president of your company and paid a year-end bonus according to the amount of net income earned during the year. When prices are rising, would you choose a FIFO or weighted average cost flow assumption? Explain, using an example to support your answer. Would your choice be the same if prices were falling?

Answer rating: 100% (QA)

1 Terms you presented is actually a discount term so for example 215 n30 stands for if you pay the g... View the full answer