Jerry's Flowers sold and shipped merchandise across the country to a buyer. The terms were FOB destination

Jerry's Flowers sold and shipped merchandise across the country to a buyer. The terms were FOB
destination. Assuming It paid the bill immediately, demonstrate the Journal entry required by Jerry's
Flowers under the perpetual inventory system to record the freight charges.

Debit Delivery Expense; credit Cash.
Debit Sales; credit Cash.
Debit Merchandise Inventory; credit Cash.
Debit Merchandise Inventory; credit Freight-Out.


The balance sheet of a merchandiser and a service business have one major difference. Select the item below that would appear only on a merchandiser's balance sheet.

Cash
Merchandise inventory
Accounts payable
Owner, Capital
Accounts receivable


The Merchandise Inventory account on a classified balance sheet is reported in the:

plant assets section
intangible assets section
long-term investments section
current assets section