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Identifying freight cost
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For each of the following events, determine the amount of freight paid by Tom's Parts House. Also indicate whether the freight is classified as a product or period cost.a. Purchased inventory with freight costs of $1,400, FOB destination. b. Shipped merchandise to customers with freight costs of $300, FOB destination. c. Purchased additional merchandise with costs of $500, FOB shipping point. d. Sold merchandise to a customer. Freight costs were $800, FOB shipping point.
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