If the seller is an agent, the seller typically recognizes cost associated with the sale on its own line in the income statement.

Name: If the seller is an agent, the seller typically recognizes cost associated with the sale on its own line in the income statement.
Brand: Quizplus
Rating: 4.7 (38 reviews)

Question

Quizplus · Accepted Answer

When a seller acts as an agent, it typically recognizes revenue net of the costs associated with the sale, rather than recognizing such costs on a separate line in the income statement.

If the Seller Is an Agent, the Seller Typically Recognizes