The reduction of price awarded to the customers who pay their bills promptly is classified as ________?

Correct answer: B. discount

  • A. non-functional discount
  • B. discount
  • C. quantity discount
  • D. descriptive discount

Explanation

A prompt-payment reduction is specifically called a cash discount, and the available choices place it under the general term discount. A quantity discount, in contrast, depends on the volume purchased rather than payment timing.

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