FOB Shipping point

 Term indicating that the buyer must pay to get the goods delivered. (The buyer will record freight-in and the seller will not have any delivery expense.) With terms of FOB shipping point the title to the goods usually passes to the buyer at the shipping point. This means that goods in transit should be reported as a purchase and as inventory by the buyer. The seller should report a sale and an increase in accounts receivable.

FOB Destination Point

Fob destination point is impliess that the seller owns the goods in transit and is responsible for freight charges and assist with the settlement of claims and is responsible for full replacement of damaged items.

Point on Sale

Point on sale is the place where a retail transaction is completed. It is the point at which a customer makes a payment to a merchant in exchange for goods or services. At the point of sale the merchant would use any of a range of possible methods to calculate the amount owing - such as manual system, weighing machines, scanners or an electronic cash register. The merchant will usually provide hardware and options for use by the customer make payment - such as an EFTPOS terminal. The merchant will also normally issue a receipt for the transaction.