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Test: Accounting
1. | The Beta Company—consignee—paid the freight costs for goods shipped from the Foxtrot Incorporated—consigner. The freight costs are to be deducted from the Beta Company's payment to the Foxtrot Incorporated when the goods are sold. Until the Beta Company sells the goods, the freight costs should be included in which of the following? |
Cost of goods sold
Selling expense
Accounts receivable
Freight-out costs
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