What is the difference between a single trade discount and trade discount series? In: http://wiki.answers.com/Q/FAQ/2547-72 [Edit categories]
Describe the difference between a single trade discount versus and discount series and give an example
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.
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
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.
What is the difference between a single trade discount and trade discount series? In: http://wiki.answers.com/Q/FAQ/2547-72 [Edit categories]
Describe the difference between a single trade discount versus and discount series and give an example
Difference between trade discount and cash discount are as follow:1)on the basis of objective:td: this discount is allowed to increase sales.Cd: this discount is allowed to motivate the customer to pay early.2)basis:td: it is allowed on the list price of the goods.Cd: it is allowed on the amount to be paid.3)entry in the books:td:it may be stated as information,but it is not recorded in the books of account.Cd: it is recorded in the books of accounts.4)entry in invoice:td: it is stated in the invoice.Cd: it is not shown in the invoice.5)receiver:td: it is allowed to all customer, wethers cash or credit.Cd: it is not allowed to all customer.6) rate:td: rae of trade discount is generally higher than the cash discount.Cd: rate of cash discount is generally lower.
The main difference between, cash discount is shows in account book but tradediscount does not show in account book.
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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.
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
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.
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.
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.
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.
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.