All of the following might explain a firm offering quantity discounts except:
A)lower costs of handling large orders.
B)an inelastic demand for the good.
C)monopoly power in this market.
D)existence of some high and some low demand consumers.

Question

Quizplus · Accepted Answer

Quantity discounts are typically offered to encourage larger purchases, which can lower handling costs, leverage monopoly power, or cater to varying consumer demands. An inelastic demand suggests consumers' buying decisions are less sensitive to price changes, making quantity discounts less relevant as a strategy.

All of the Following Might Explain a Firm Offering Quantity