[GNC] Another "multi-account" logical issue - any advice on how to register this?

[Michael or Penny Novack]

> However, I always considered shipping costs as part of the goods value. I
> thought "I paid 220 for this guitar, even though 20 are for shipping, so to
> me it's worth 220" (I know this is wrong, because shipping doesn't add
> value to the goods).
>
"Shipping cost" has added to the value of goods for thousands of years. 
Transporting of goods from where they are of little value (low cost per 
unit) because they are common there to another location where they are 
of high value (high cost per unit) because scarce there is the reason 
humans engaged in "trade". Goes back to the prehistoric when that might 
be a basket pack of cowrie shells some guy put on his back and walked 
hundreds of miles from the coast to the interior. He did this because 
this effort changed (increased) the value of the cowrie shells in that 
basket.

THAT is why my example of this was firewood. The value of "stumpage" is 
quite low (price per cord of non-lumber wood where is/as is in the 
forest). Maybe just $5-10/cord. That value is being increased by the 
firewood dealer felling, skidding logs to the landing, trucking to 
his/her yard, bucking, splitting, and put to dry. Might then be able to 
sell it for $200/cord delivered short distance and maybe plus a 
surcharge for longer distance. Similarly the person buying this wood 
might be paying extra to take those piles of wood dumped at his/her 
place and stack it under cover << it IS worth more stacked in the 
woodshed rather than buried in the snow >>

Work performed on goods and transport of goods does affect the value of 
goods.

Suppose you were a maker of wooden widgets. Do you imagine the proper 
"cost per widget" in your inventory would be just the cost of the wood 
(and you could take as immediate expenses the cost of labor to transform 
the wood into widgets) or that you were required to make those costs 
part of the cost of widgets in inventory (so you got to deduct those 
expenses only as widgets were sold as "cost of goods sold". The taxman 
is going to have a say about this. BTW, this has a HUGE affect on how 
certain businesses are conducted << it is "costly" for producers to hold 
inventory long tern when they can't deduct production costs till sold >>

Michael D Novack