Caveat Emptor
"Arm's length" doesn't refer to physical distance but means being fair and impartial. An arm's length price is what two unrelated parties would agree on, showing the price is fair and not manipulated. This price is often seen as a sign of a fair deal.
However, in the countryside, cattle prices are often set in a different way. The seller and buyer agree on a price privately, sometimes under a towel, making it unique and not reflective of the general market price. While this practice is sometimes shown in movies as funny, it has a purpose. It keeps the price secret between the parties, so it doesn't influence the market prices for cattle.
Despite these practices, buyers should know all the trade customs to keep their costs low. "Caveat emptor" reminds buyers to be aware and cautious.
By CA L.Muralidharan and CPA L.Mukundan
Visit www.sreeramcoachingpoint.com for more blogs
Contact: 6383228202 or 9884439769
Also use our app Gyanji for more utility and benefits
Best place of coaching for CPA, CMA USA & CA
