Like Discounts, Reductions from List or Quoted Prices to Buyers

question 325

Multiple Choice

Like discounts, reductions from list or quoted prices to buyers for performing some activity are referred to as

• A)uniform pricing.
• B)basing point pricing.
• C)noncumulative deductions.
• D)list price deductions.
• E)allowances.

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Definitions:

Lottery Tickets

Pieces of paper or digital receipts purchased in hopes of winning a large sum of money through a process of random selection.

Production Possibilities Curve

A graphical representation that shows the maximum quantity of one good that can be produced for every possible quantity of another good produced, given available resources and technology.

Decreasing Opportunity Costs

A situation in which the opportunity costs of resources decrease as more of a good is produced.

Increasing Opportunity Costs

A situation where increasing production of one good requires larger and larger sacrifices in the production of another good due to limited resources.