A discount deducted from the invoice price of goods to enable the retailer to make profit
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Correct Answer: Option C
Explanation:
A trade discount is a reduction granted by a manufacturer or wholesaler to a buyer, usually a retailer, from the catalogue or list price. It allows the retailer to resell the goods at a profit. A cash discount, on the other hand, is given for prompt payment.
A trade discount is a reduction granted by a manufacturer or wholesaler to a buyer, usually a retailer, from the catalogue or list price. It allows the retailer to resell the goods at a profit. A cash discount, on the other hand, is given for prompt payment.