If it costs less per dog for a wash and a groom at Cedartown Grooming Gallery when Tom brings in five dogs at one time than it does when he brings in the dogs individually on separate days, it is an example of a functional discount.

Question

Quizplus · Accepted Answer

This scenario describes a volume discount, not a functional discount. A volume discount is given for purchasing or consuming in larger quantities, while a functional discount is offered for performing certain functions or roles, such as wholesaling or distribution.

If It Costs Less Per Dog for a Wash and a Groom