Market according to Area:
Based on the degree of the market for any product, markets can be categorized into local, regional, national & international markets.
Local Market:
A local market for a product exists whenever sellers and buyers of commodity carry on business in a specific locality or village or region where the demand and supply circumstances are influenced by local conditions only. Example, Perishable goods such as milk and vegetables and bulky articles such as bricks and stones.National Market:
Whenever commodities are demanded and supplied all through the country, there is national market example, wheat, rice, cottonand so on.
Regional Market:
Commodities which are demanded and supplied over an area contain regional market.
Global Market:
Whenever demand and supply situation are influenced at worldwide level, we encompass international market. Example: gold, cell phone, silver, and so on.
On the basis of demand and supply, such geographical classification is prepared. With enhanced transport facilities and communications, even goods of local markets can be international goods.
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Having set out the major principles included in preparing an income statement, we required to consider some additional points.
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