Asked by
Adiel Davis
on Nov 15, 2024
Verified
A quantity discount is recorded separately, the same way as a purchase discount.
Quantity Discount
A reduction in price given by a seller to a buyer for purchasing a larger quantity.
Purchase Discount
A deduction from the gross amount of an invoice allowed by the seller to the buyer for early payment.
- Understand the accounting treatment and financial presentation of quantity and purchase discounts.
Verified Answer
SE
Learning Objectives
- Understand the accounting treatment and financial presentation of quantity and purchase discounts.