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Economics, Accounting & Business: Post your doubts here!

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then the firm will not sell below the selling price. if it could make a profit on selling price then why charge a low price. never mind, that question was confusing
a firm does not willingly sell at below selling price but it uses marginal costing to assess whether to accept an order for below selling price or not. if the price is above variable cost per unit, the revenue can contribute to fixed costs. the fixed costs need to be paid even if there is no production which is why the firm may accept orders at below selling price so as to lower the losses. i guess!
 
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Bad debts and trading wala option (1 and 2)

well examiner here was quiet clever, Club and Society never have trading account except their ancillary activities have it. ie bar, restaurant etc.... as we studied club and society have income and expenditure instead of profit and loss account so A was not the right choice. As you can see the pastpapers, we have seen several question in which the subscriptions were made due and also bad debts occurred so the option was C.
 
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well examiner here was quiet clever, Club and Society never have trading account except their ancillary activities have it. ie bar, restaurant etc.... as we studied club and society have income and expenditure instead of profit and loss account so A was not the right choice. As you can see the pastpapers, we have seen several question in which the subscriptions were made due and also bad debts occurred so the option was C.
the option said clubs are allowed trade in never mentioned the trading ac.
 
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no effect for cash and increase for stock
well examiner here was quiet clever, Club and Society never have trading account except their ancillary activities have it. ie bar, restaurant etc.... as we studied club and society have income and expenditure instead of profit and loss account so A was not the right choice. As you can see the pastpapers, we have seen several question in which the subscriptions were made due and also bad debts occurred so the option was C.
Welll thnx a lot guys, gd luck in the remaining papers u have :)
 
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well examiner here was quiet clever, Club and Society never have trading account except their ancillary activities have it. ie bar, restaurant etc.... as we studied club and society have income and expenditure instead of profit and loss account so A was not the right choice. As you can see the pastpapers, we have seen several question in which the subscriptions were made due and also bad debts occurred so the option was C.
YEAH JISME SUBCRIPTION WAS TO BE CREDITED AND BAD DEBTS??? THIS ONE?
 
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