Sales Returns and Allowances and Sales Discounts Are Subtracted from Sales

question 115

True/False

Sales returns and allowances and sales discounts are subtracted from sales in reporting net sales in the income statement.

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Definitions:

Private Branding

The strategy of a retailer selling products under its own trademark or brand name rather than the brand of the manufacturer, to increase profitability and customer loyalty.

Manufacturer Branding

The process by which a manufacturer markets and sells a product under its own brand name, rather than under a retailer or other company's brand.

Generic Branding

Marketing strategy in which products are not branded and are sold without a brand name, often at lower prices.

Mixed Branding

A marketing approach in which a company advertises products under both its brand and a reseller's brand, targeting a market segment different from its original audience.