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Knowledge Base : General : Business
  1. What are the differences between first sale, second sale and inter state sale
    First Sale means the starting point of the goods sold. As per VAT, tax is paid o...
  2. What are the top 3 things a retailer must measure ?
    1. Inventory Turnover [overall, categorywise, productwise], 2. Footprint & conve...
  3. What does price to stockist and price to retailer mean with relation to MRP in the pharma trade ?
    PTS [Price to Stockist] is the selling price for the distributor and PTR [Price...
  4. What reports does a retailer require, if he wants to get loan on inventory from a bank
    Stock Hold Report with Closing Stock value & Monthly Sales Report...
  5. What is gross margin ?
    Selling Price minus Cost price is Gross Margin. Trading expenses are not counted...
  6. What is the difference in tax calculation for inclusive of tax and local tax extra items ?
    If the item is of type Local Taxes Extra, then the TAX is calculated on MRP and...
  7. What is the focus of a non-computerized shop and where does it shift to, once the trade management is computerized ?
    Before computerization, the focus is on operations of the shop. And after comput...
  8. What is scheme discount ?
    Scheme is a promotional actvity done by manufacturers to distributors or by dist...
  9. What is the difference between a wholesaler and a distributor ?
    Distributor : Distributes products by having field sales / delivery boys where a...
  10. What is inventory type of horlicks ?
    Standard with batch control...
  11. What does purchase rate, net purchase price and landed cost mean
    Purchase Rate is mentioned in the Distributor's invoice. Net purchase Price is a...
  12. What is the value proposition of a leisure store ?
    Leisure store stocks those items which can be used for our leasure time. Playing...
  13. What is the major difference in tax calculations for pharma products & non-pharma products ?
    Tax calculated based on MRP for pharma products while Tax calculation is based o...
  14. What is the inventory type used for billing a HOME PC I, where HOME PC product has PIV, 256/512 MB RAM, 17' LCD monitor based on customer choice etc. as part of it ?
    Assembly...
  15. What are the different ways in which a retailer inventory can be valued ?
    There are different ways in which the inventory can be valued for eg. Weighted A...
  16. What is the significance of minimum stock and maximum stock in product master ?
    Minimum Stock serves as the reorder point [when the stock reaches minimum stock,...
  17. What is lost sales opportunity ?
    If a sales cannot happen due to short of stock or non-availability of the item i...
  18. What is the difference between sales return and bill cancellation ?
    Sales return transaction involves the return of some goods against previous sale...
  19. What is cash discount ?
    Cash discount means discount given during a sale for getting immediate cash from...
  20. What is the most valuble resource for retailer today ?
    The software solution that provides upto date information about his business...
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