1.   They have a competitive edge in larger buying power, enabling them to acquire stock at prices way below the small independents.

2.   The shop was selling off all its old stock at giveaway prices.

3.   Profit is normally seen as a flow over time whereas wealth can be described as a stock at a point in time.

4.   Why is it necessary to value stock at the lower of cost and net realizable value?

5.   Using the information in the example below, discuss the accounting treatment of each transaction and the possible value of the stock at the end of the month.

6.   Individual small bids may be submitted on a non-competitive basis and the bidder receives stock at the mean accepted price.

7.   An option entitles the holder to buy a stock at a fixed price at a preset date in the future.

8.   An option gives the holder the right to buy or sell stock at a specific price by a specific date.

9.   An executive gets to keep the stock at the end of the vesting period simply by remaining with the company.

10.   An option gives the holder the right to buy the underlying stock at the strike price.