Discuss the Validity and Effect of Each of the Following

question 17

Essay

Discuss the validity and effect of each of the following:
_a. Two manufacturers of the same product decide to allocate territories, with one taking the southern States.
_b. A labor union encourages its members and all consumers to boycott a product manufactured by a company that refuses to honor a union contract.
_{Carrin's Department Store sells its products for 10% under the suggested retail price. One}
c. manufacturer tells the store it will not supply wholesale goods to it unless it charges at least the suggested retail price.

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Definitions:

Merchandise

Goods that are purchased for the purpose of being sold to customers in the retail or wholesale market.

Periodic Inventory System

An inventory system that updates the inventory balance at specific intervals, necessitating physical counts.

Cost of Merchandise

The total purchase cost of goods that a retailer, wholesaler, or distributor has bought for the purpose of reselling.

Freight In

The cost associated with transporting goods from the supplier to the buyer, typically recorded as part of the inventory cost.