QUESTION 23 Which of the following statements is correct? Revenue is recognized at the time of shipment when goods are shipped FOB destination Sales returns and allowances are reported as operating expenses on an income statement A seller records revenue when title and risks of ownership transfer to the buyer Sales discounts are reported as cost of sales on an income statement QUESTION 24 The Sylvester Corporation purchases a machine on January 1, 2019 for $1,200,000. The machine has an estimated ten-year useful life and a $200,000 salvage value. If the Sylvester Corporation forgets to make the required adjusting entry for depreciation for the year ended December 31, 2019: a. Assets will be understated b. Net Income will be understated oc Liabilities will be overstated d. Retained earnings will be overstated