branch A and branch b receive all inventories from the home office at cost to the home office plus 10% to cover freight charges of the home office . the home office instructed branch a to transfer 3,000 of merchandise to branch b . freight cost of shipping inventory from branch a to branch b was 360 . the 60 excess freight cost of transferring inventory from branch a to branch b over freight cost of a direct shipment to branch b from the home office should be treated as