answersLogoWhite

0


Best Answer

A trade discount is a discount that a manufacturer or wholesaler makes to the retail price of a product when selling to a reseller. A cash discount is a reduction made to the invoice if the buyer pays the invoice prior to a set date.

User Avatar

Wiki User

9y ago
This answer is:
User Avatar

Add your answer:

Earn +20 pts
Q: Explain the difference between trade discount and cash discount?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Related questions

What is the difference between a single trade discount and trade discount series?

What is the difference between a single trade discount and trade discount series? In: http://wiki.answers.com/Q/FAQ/2547-72 [Edit categories]


What is the Difference between trade discount and discount allowed?

trade discount is for trade customer (who has an account with the supplier) discount allowed is for walk in customers (no account holders)


What is the Different between a single trade discount versus a discount series?

Describe the difference between a single trade discount versus and discount series and give an example


What is the main difference between trade discount and cash discount?

The main difference between, cash discount is shows in account book but tradediscount does not show in account book.


Difference between trade discount and cash account?

51225


Difference between trade discount and cash discount?

A trade discount occurs when an item is offered along with another item that is paid for. A cash discount is a reduction in the price of an item.


What is difference between cash discount and trade discount?

cash discount enable the buyer to pay promptly while trade discoint is a discount given to the buyer so that he can buy more goods


Bring out the difference between trade discount and cash dicount?

Cash discount is the discount in amount in accounts payable while trade discount is on sales price discount which is not recorded in business books and transaction is recorded at discount price.


Difference between single trade discount verses a discount series?

A single trade discount is one discount like 30% where as a series discount is more then one like 20/10/5 but can not be added together, have to be discounted seperately.


What is the difference between a cash discount and a trade discount?

a cash is an amount deducted from the value of an item at time of purchase, while a trade discount is the deducted from purchase amount for an item of placed value surrendered at time of purchase.


Difference between a single trade discount and a series discount?

Single trade discount is the discount you would get when you buy 1 of the item. ex. Chips discount 99 cents. Series discount is something that you would have to buy more then 1 of the item to get the discount. ex. Peanuts, 1 for 60 cents, 2 for dollar.


Differentiate between cash discount and trade discount?

Cash discount is a discount offered by a seller to a buyer for paying earlier than the due date, whereas a trade discount is a discount provided by a seller to a buyer based on the quantity or value of goods purchased. Cash discount reduces the actual amount to be paid, while trade discount is deducted from the list price before calculating the invoice amount.