What is the main purpose of a prompt payment discount?
ATo fund advertising
BTo clear old stock
CTo speed up bill payment
DTo reward bulk orders
Answer & Solution
Correct answer: C. To speed up bill payment
Cash discounts speed up payment and thereby provide cash flow to the seller.
Keep practising Discount
Browse all Discount questions for SSC CGL, or explore more Quantitative Aptitude topics.
Related questions
Discount equals the marked price minus theSales tax collected by a shopkeeper from customers is finally paid toWhen a seller and buyer negotiate a price below the original selling price, it isA price cut given when an order is placed in a slack period is called aTrade-in credit is a discount granted forA cumulative quantity discount depends onUnder payment terms 2/10 net 30, what discount applies for payment within 10 days?A 22% discount is given on a 3,500 item. The sale price in rupees is