1. When you purchase a new car, the “sticker price” includes a “destination” charge. Are you purchasing the car FOB shipping point or FOB destination? Explain. 2. Bernard Office Equipment, which uses...

1. When you purchase a new car, the “sticker price” includes a “destination” charge. Are you purchasing the car FOB shipping point or FOB destination? Explain.

2. Bernard Office Equipment, which uses a perpetual inventory system, experienced a normal inventory shrinkage of $19,290. (a) What accounts would be debited and credited to record the adjustment for the inventory shrinkage at the end of the accounting period? (b) What are some causes of inventory shrinkage?