for #5 it's D, and their reasoning is “This answer is correct because observation of physical inventory would not indicate that shipments have been made on a consignment basis. Irrespective of whether sales are on a regular basis or a consignment basis, the inventory would not be in the client’s possession.”
but they say it's not B because “This answer is incorrect because no receivable is established by the client when goods are consigned.” So wouldn't that make it least likely too? lol
I was thinking, if you send inventory to the customer but it's still in the accounting records, and you see the physical inventory doesn't match the records, it will be indicative of consignment >_>
FAR - 89 (8/19/14) Wiley TB, Wiley Book, Books from School, Ninja Audio/Notes
AUD - 92 (10/14/14) Wiley TB, Wiley Book, Ninja Audio
BEC - 82 (5/8/15) Mostly Ninja MCQ, sprinkles of Becker lectures and Ninja Audio
REG - (8/14/15)
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