Asked by Matelita Tuitahi on Jun 26, 2024
Verified
Once goods leave the premises of the seller, they should never be added to the seller's physical inventory count.
Physical Inventory Count
A physical inventory count is the manual process of counting all the goods a company physically has on hand at a specific time to verify stock records and values.
- Comprehend the role of internal control and physical inventory in inventory management.
Verified Answer
VC
Vanessa colonJun 27, 2024
Final Answer :
False
Explanation :
Goods in transit that are shipped FOB (Free On Board) shipping point should not be included in the seller's inventory, but if they are shipped FOB destination, they remain in the seller's inventory until they reach the buyer's location.
Learning Objectives
- Comprehend the role of internal control and physical inventory in inventory management.
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