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WAEC Accounting 2012 Objective — Question 2

Question 2 of 50 from the West African Examinations Council (WAEC) Accounting 2012 Objective paper, with the correct answer and a full explanation.

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Trade discounts are given for

  • A. bulk purchasesCorrect
  • B. prompt payment
  • C. quick delivery
  • D. cash payment

Explanation

Trade discount is the deduction offered to a customer to encourage him to buy in bulk.

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