Your Accounting Client Operates a Website Through Which It Sells

Essay

Your accounting client operates a website through which it sells products offered by other companies. You have gathered facts that indicate your client is an order-taker who receives payments from customer-buyers through its website, and then sends the order to the other company so they can ship their product to the customer. You have identified an accounting issue that suggests your client is acting as an agent for the other company which brings into question the way they recognize revenue from the transaction. Briefly describe how you should proceed in resolving this accounting research question.