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A purposive incentive is defined as
ABC Approach
A methodology used in inventory management and cost accounting that prioritizes items based on their importance, cost, or another criterion, often categorized into A, B, and C groups.
Cash Discount
A reduction in the invoice amount by a seller if the buyer pays within a specified period, incentivizing early payment.
Purchases Discount
Purchases Discount represents a reduction in the price of goods a company buys, usually offered by suppliers as an incentive for early payment.
Opportunity Costs
The loss of potential gain from other alternatives when one alternative is chosen.
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