What is Discounts and allowances?
'''Discounts and allowances''' are when the [[price]] of goods or services is made lower. Discounts and allowances can be a change of the price that the [[manufacturer]] sells the [[Product (consumer goods)|product]] for, the [[retail]] price (set by the retailer and often attached to the [[product (business)|product]] with a sticker), or the list price (which is quoted to a potential buyer, usually in written form). The market price (also called effective price) is the amount that the [[customer]] pays. The purpose of discounts is to increase short-term sales, move out-of-date stock, reward valuable customers, encourage distribution.<ref>{{Cite web|title=Discounts and Invoices: Discounts and Allowances Overview|url=http://www.college-cram.com/study/accounting/presentations/25|url-status=dead|archive-url=https://web.archive.org/web/20080526164658/http://www.college-cram.com/study/accounting/presentations/25|archive-date=26 May 2008|access-date=30 May 2008}}</ref> Some discounts and allowances are forms of sales [[promotion]]. ==Related pages== *[[Public transport#Multi-use tickets|Multi-use tickets for public transport]] ==References== {{reflist}} {{stub}} [[Category:Marketing]]