A retailer reduces its invoice by 5 percent since a supplier shipped seasonal merchandise 10 days late.The price reduction is designed to compensate the retailer for additional markdowns.This reduction illustrates a _____.
A)markdown adjustment
B)slotting allowance
C)slotting fee
D)chargeback

Question

Quizplus · Accepted Answer

A chargeback is a deduction from the invoice amount due to issues such as late shipment, which is what the retailer is doing by reducing the invoice by 5 percent.

A Retailer Reduces Its Invoice by 5 Percent Since a Supplier