Below is a case of your understanding of revenue recognition, or revenue recognition.

PT Starlight has a sales policy with FOB Shipping point, on December 30, 2021, selling its merchandise to its customer PT Moonlight. On December 30, 2021, the goods are loaded onto Cargo/Trucks and will take three days to arrive at the PT Moonlight Warehouse.

Questions

1). As of December 31, 2021, when both companies prepare their financial statements. What is the position/status of the merchandise? Explain your opinion from the perspective of PT Starlight and PT Moonlight.

2). What if PT Startlight, its sales policy with FOB Destination?