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When GM Purchases 500 Tonnes of Sheet Metal for Their

Question 235

Multiple Choice

When GM purchases 500 tonnes of sheet metal for their manufacturing line,the cost is $0.10 per tonne.However,when they purchase 750 tonnes,the price becomes $0.05 per tonne.GM is receiving a(n) ____________ from the sheet metal manufacturer.


A) promotional allowances
B) quantity discounts
C) one-price policy prices
D) penetration prices

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