UGC NET COMMERCE July 2018 Q82
- Option : D
- Explanation : Kinds of discounts given on prices are as follows:
∎ Quantity Discount: It is offered to those customers who buy bulk quantity or larger quantities.
∎ Cumulative Quantity Discount: When the seller offers a discount which increases as the cumulative quantity increases.
∎ Cash Discount: It is a discount given to those customers who are regular and always prompt in paying their bills.
∎ Seasonal Discount: The discount given to customers who purchase during the off-season is called as seasonal discount. This kind of discount is promoted to eliminate the seasonal fluctuations and motivate customers to make purchases even in the off-season.
∎ Functional Discount: It is also called as Trade Discount. This discount is offered by the manufacturer to trade channel members if they will perform certain functions determined by the manufacturer.
