The Residual Approach Which Computes the Stand-Alone Selling Price as the Transaction

question 47

Short Answer

The residual approach which computes the stand-alone selling price as the transaction price less the total of the observable stand-alone selling prices of other goods services in the transaction.This approach is only acceptable if either (i)the good or service in question has a highly variable selling price,or (ii)the entity has not yet established a selling price for that good or service.

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Definitions:

Hamilton's Rule

A principle in evolutionary biology stating that an individual will act to increase its own genetic success, potentially aiding related individuals at a cost to itself if the genetic benefits exceed the costs.

Intersexual Selection

A mode of natural selection where members of one biological sex choose mates of the other sex to mate with, often based on certain desirable characteristics.

Polyandry

A mating system in which a female mates with several males during a breeding season. Compare with polygyny.

Intrasexual Selection

A type of natural selection where members of one sex compete with each other for access to members of the opposite sex for reproduction.