A price reduction offered to channel intermediaries for purchasing specified quantities of a product at a single time is called a:
A) merchandise credit.
B) buying allowance.
C) selling incentive.
D) push money allowance.
E) cooperative incentive.

Question

Quizplus · Accepted Answer

A buying allowance is a price reduction or discount given to retailers and wholesalers when they purchase a specified quantity of a product. This incentive is often used to encourage bulk purchases or to promote certain products within the distribution channel.

A Price Reduction Offered to Channel Intermediaries for Purchasing Specified