The order that will be shown on this year’s financial statements is Goods shipped December 28, FOB shipping point and received January 2.
A calendar year is known to be a one-year timeframe. It is one that often starts on January 1 and must ends on December 31.
This calendar year is popularly known as the civil year as it is made up of the full 365 days or 366 for a leap year. It is used by firms for business, personal, and administrative events.
The order that will be reflected on this year’s financial statements is Goods shipped December 28, FOB shipping point and received January 2 because only this one among the options have spillover from the previous year to this year.
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Your calendar year company places the following orders on December 27. Indicate which of the orders will be reflected on this year’s financial statements.
Goods shipped December 28, FOB shipping point and received January
Goods shipped December 27, FOB destination and received January
Goods shipped January 2, FOB shipping point and received January 3.
Goods shipped FOB destination December 28 and received December 30.
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