When the term F.O.B. shipping point is used, title passes:

A) when goods reach the halfway point.
B) when goods reach the destination.
C) when goods are shipped.
D) when the buyer signs for the product.

F.O.B. Shipping Point

A term used in shipping contracts indicating that the buyer is responsible for paying shipping costs and bears the risk of the goods once they are shipped by the seller.

Title Passes

Refers to the moment when ownership of goods is legally transferred from the seller to the buyer in a transaction.

Buyer Signs

Acts of formal agreement by a purchaser to terms or documents, such as contracts or purchase orders.