Beringer Company places an order for supplies with Picasso Company on December 17.Picasso delivers the supplies on December 20 and invoices Beringer on December 21.Beringer pays the invoice on December 29.On what date does Beringer satisfy its performance obligation?
A)December 17
B)December 20
C)December 21
D)Beringer Company does not have a performance obligation.

Question

Quizplus · Accepted Answer

Beringer Company is the buyer in this transaction and does not have a performance obligation. Performance obligations typically refer to the seller's responsibility to deliver goods or services.

Beringer Company Places an Order for Supplies with Picasso Company