Do you agree or disagree with the managers decision


Problem

The company you work for uses FOB shipping point for all their sales. Inventory is usually shipped one week after the item was ordered. It is late December, and your company has had a great year with profits already beating expectations. Your manager tells you to delay shipment until January on any new orders, so that the revenue will be reflected on next year's financial statements.

Do you agree or disagree with the manager's decision of when to ship goods to customers and record the revenue? Explain your reasoning. Is there an accounting rule against this practice?

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Accounting Basics: Do you agree or disagree with the managers decision
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