§ 421B.8 — Cost determined

Iowa § 421B.8

• Jurisdiction: Iowa
• Title X: FINANCIAL RESOURCES
• Ch. 421B: CIGARETTE SALES

Text

1. Admissible evidence. In determining cost to the wholesaler and cost to the retailer
the court shall receive and consider as bearing on the bona fides of such cost, evidence that
any person complained against under any of the provisions of this chapter purchased the
cigarettes involved in the complaint before the court, at a fictitious price, or upon terms, or
in such a manner, or under such invoices, as to conceal the true cost, discounts or terms
of purchase, and shall also receive and consider as bearing on the bona fides of such cost,
evidence of the normal, customary and prevailing terms and discounts in connection with
other sales of a similar nature in the trade area or state.
2. Cost survey. Where a cost survey pursuant to recognized statistical and cost
accounting practices has been made for the trading area in which a violation of this chapter
is committed or charged, to determine and establish the lowest cost to wholesalers or the
lowest cost to retailers within the area, the cost survey shall be deemed competent evidence
in any action or proceeding under this chapter to establish actual cost to the wholesaler
or actual cost to the retailer complained against. In such surveys to determine cost to the
§421B.8, CIGARETTE SALES 4
wholesaler or retailer there shall be included in the cost of doing business without limitation,
labor, rent, depreciation, sales costs, compensation, maintenance of equipment, cartage,
licenses, taxes, insurance and other expenses.

Legislative History

[C50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, §551A.8]