If the Terms of the Trade Discount Are Listed as "20/10/5

question 187

Multiple Choice

If the terms of the trade discount are listed as "20/10/5," the number "20" represents

• A) 20 percent of the suggested retail price that is available to the retailer to cover costs and provide a profit.
• B) 20 percent of the suggested wholesale price that is available to the wholesaler to cover costs and provide a profit.
• C) 20 percent of the suggested retail price that is available to the jobber to cover costs and provide a profit.
• D) 20 percent of the manufacturer's suggested retail price that is available to the ultimate consumer.
• E) 20 percent of the suggested retail price that is the profit margin to the manufacturer.

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Definitions:

Compliment Close

A sales technique where positive feedback or compliments are used to create a good rapport with the potential buyer, often leading to a sale.

Ad Space

Areas designated for advertisements in various mediums, such as newspapers, magazines, websites, or outdoor locations.

Minor-Points Close

A sales technique where the focus is on the lesser details or benefits to persuade the customer.

Alternate-Choice Close

Alternate-Choice Close is a selling technique where the salesperson presents the prospect with two choices, both leading to a sale, giving the illusion of control.