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A Producer of Sports Equipment Offers Its Retailers a 2

Question 219

Multiple Choice

A producer of sports equipment offers its retailers a 2 percent price reduction on all purchases if the dealer advertises the products locally. Apparently, the producer is using


A) "push money."
B) a functional allowance.
C) a cash discount.
D) a trade discount.
E) an advertising allowance.

Correct Answer:

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