reduction in price is called:
Correct answer: B. Discount
- A. Paid price
- B. Discount
- C. Book price
- D. Invoice price
Explanation
A discount is a reduction from the stated or list price of goods or services. Invoice price and book price refer to recorded prices, not necessarily a reduction.
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About Accounting Principles
Accounting principles explain the rules used to record, classify and report business transactions. Coverage includes the accounting equation, double-entry system, accrual and cash bases, matching and prudence concepts, consistency, going concern, business entity, and the difference between capital and revenue items.
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