Producers or Manufacturers of the product always tries to increase their sales
volume through approaching maximum number of customers in the same country
or in abroad. Such manufactures will adopt many ways, in order to reach maximum
customer to increase sales one of the method adopted is Consignment of Goods.
Under Consignment goods are sent by the manufacturer to the sales agents who
lives in different parts, either in the same country or in foreign country, who agrees
to sell the goods on behalf of manufacturer for some commission and such agents are
not responsible for damage or loss of goods which is consigned and also any expenses
incurred in connection with the receipt of goods till the sale of goods incurred by the
sales agents has to be reimbursed by the manufacturer of owner of such goods.