Final answer:
FOB shipping point or FOB origin means the buyer assumes ownership and liability for goods once they leave the seller's business.
Step-by-step explanation:
The term FOB shipping point, or FOB origin, is used when ownership of goods transfers to the buyer as soon as the goods leave the seller's place of business. This is a common term used in shipping contracts which indicates that the buyer is responsible for the goods during transit, including the risk of loss and shipping costs. Therefore, as soon as the goods are loaded onto the delivery vehicle, the buyer assumes ownership and liability. It's important for both parties in a transaction to understand the terms of FOB to ensure proper accounting for shipping costs and responsibilities.