| This question <1002|1004> overall <1002|1004> Nazgul: <951|1166>. (graded A weight 50%) |
| Question 401: If someone first buys a car, and after two years trades it in for a new car, is that C-M-C or M-C-M? If someone first buys a house, then after ten years decides to move and sells his house for a profit, is this C-M-C or M-C-M? If a farmer raises wheat, then at the end of the year sells his crop and with the proceeds buys the materials to raise next year's wheat, is that C-M-C or M-C-M? |
| [1003] Nazgul: CMC Confusion. I view question 401 differently than Ace's [999] and Tink's [1000]. Additional clarification from anyone would be appreciated. |
| Regarding the housing situation, if someone buys a house they are purchasing a commodity, M-C, by selling it for a profit they are essentially exchanging their commodity for money C-M. Here, M-C-M, the buyer of the house “lays out money in order that, as a seller, he may recover money.” |
| If the original buyer of the house is doing so with the intention of it being an investment that he will later profit from, then wouldn't it be M-C-M, not C-M-C as Ace and Tink stated? |
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