Question

Importance/ Advantages of :-
Trade...
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Note _
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Answer 1

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One of the significant advantages of international trade is market diversification. Focusing only on the domestic market may expose you to increased risk from downturns in the economy, political factors, environmental events and other risk factors.

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Answer 2

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Following are the importance / Advantages of Trade:-

It provides information on gross profit or gross loss.

The business account provides information on net purchases and stays.

The relationship between purchase and direct expenses can be determined from a business account.

It helps in determining the ratio of direct expenditure to gross profit.

The cost of goods sold can be calculated from the trade account.

The percentage of gross profit helps in the evaluation and comparative study of the success of the business.

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