need to do general journal?

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need to do general journal?

issued check 40 to the oroville company for $2.00 as payment in full on invoice that was received today. the invoice is for freight charges on merchandise delevered to customers under shipping terms of FOB destination.

2007-11-10 02:17:03 · 1 answers · asked by guest 1 in Business & Finance ➔ Other - Business & Finance

1 answers

Under shipping terms FOB destination, the seller is responsible for paying the shipping charges. So your entry:
Dr Transportation out $2.00
Cr Cash $2.00

Tpt out is also variously called carriage outwards, freight outwards, delivery charges or such similar terms

2007-11-10 17:41:38 · answer #1 · answered by Sandy 7 · 0⤊ 0⤋