Purchase Allowances Refer to a Price Reduction (Allowance) Granted to a Buyer

question 69

True/False

Purchase allowances refer to a price reduction (allowance) granted to a buyer of defective or unacceptable merchandise.

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Definitions:

Offeree

The person or entity to whom an offer is made, which can be accepted, resulting in a binding contract.

Consideration

In contract law, consideration refers to something of value that is exchanged between parties as part of an agreement.

Promisee

The party in a contract who is to receive the benefit of the promise or action stipulated in the agreement.

Promisor

A party who makes a promise or commitment in a contract.