Which is the type of discount that would most likely be given to a customer who pays bills within a stated period?
A) Cash discount
B) Noncumulative quantity discount
C) Trade discount
D) Cumulative quantity discount
E) Consumer discount

Question

Quizplus · Accepted Answer

A cash discount is typically offered to customers as an incentive for early payment of their bills within a specified period. This encourages prompt payment and helps businesses improve their cash flow.

Which Is the Type of Discount That Would Most Likely