A retailer might expect a stocking allowance:
A) for paying the supplier's invoice before the product is delivered.
B) to pass along to retail salesclerks who aggressively sell the product.
C) to offset the handling costs for a new product.
D) if the manufacturer can't fill an order by the promised delivery date.
E) None of these-stocking allowances only apply to wholesalers.

Question

Quizplus · Accepted Answer

A retailer might expect a stocking allowance to offset the handling costs for a new product. This is a payment made by the supplier to help cover the costs of handling and displaying the product in the store, such as shelving, stocking, and inventory management.

A Retailer Might Expect a Stocking Allowance