Goods in transit – Co’s responsibility at dispatch point

Good morning! Could you kindly explain the following Kaplan response regarding an audit risk and the appropriate auditor’s response?
Lapis Co purchases its raw materials from
overseas suppliers and has responsibility
for goods at the point of dispatch, with
materials in transit for up to six weeks.
At the year end, there is a risk that cut?off
may not be accurate and inventory,
purchases and payables may be
understated as the company may not
correctly recognise the raw materials from
the point of dispatch.
What are the rules for this situation? When do we need to recognise the inventory, purchases and payables and why?
Thank you! I appreciate your help!