Cumulative Quantity Discounts Refer to

question 80

Multiple Choice

Cumulative quantity discounts refer to

• A)reductions in unit costs for a larger order.
• B)cash payments or extra amounts of "free goods" awarded sellers in the channel of distribution for undertaking certain advertising or selling activities to promote a product.
• C)discounts offered to sellers for first time purchases of a new product as incentives for providing shelf space.
• D)a series of discounts for every additional rebuy in which the discount becomes incrementally higher.
• E)discounts that apply to the accumulation of purchases of a product over a given time period,typically a year.

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Definitions:

Retained Earnings

Profits that a company keeps, after dividends have been paid, for reinvestment in the business or to pay off debt.

Marginal Cost

The additional cost incurred by producing one more unit of a good or service, a crucial concept in economic decision-making.

R&D Financing

The allocation of financial resources towards research and development activities within a company or institution, aiming to innovate or improve products or technologies.

R&D Expenditure

Financial resources allocated by businesses, governments, or other entities to research and development activities aimed at innovation and improvements.