Difference Between Consignment And Sales
Consignment can not be treated as sales of goods. It is different from sales. The difference between consignment and sales are as follows: 1. Ownership Consignment: The ownership of the goods remains with the consignor until sales is effected by the consignee. Sales: The ownership of the goods immediately transferred to the buyer when sale is effected. 2. Relationship Consignment: The relationship between the consignor and consignee are of principal and agent. Their relation ship are continued till terminated. Sales: The relationship between the two parties are that of seller and buyer and they terminated as soon as payment is made and goods are delivered. 3. Expenses Consignment: The expenses incurred by the consignee to execute sale and the expenses incurred by consignor to send the goods to the consignee, both are borne by the consignor. Sales: Any expenses incurred after the sale is not borne by the seller. 4. Risk Consignment: The risk of goods under c