The Concept of Consignment' Cost

Consignment is an arrangement in which goods are left with a third party to rent/sell.

Consignor is the one who owns the item and Consignee is the one who rent/sell the item to customer.

For example: Person X owns the house, he gives authority to Person Y to sell or rent the house to customer.

So here, Person X is Consignor and Person Y is Consignee

The Item or goods given authority for third party to rent, that item becomes Consigned Item.

Consignment cost is the amount which is decided by the consignee.

For example: Consignee Person Y will decide the cost of an item