Question

Select all that apply Which of the statements below summarize why a seller would give a sales allowance? (Check all that apply.) Multiple select question. In order to entice a customer to keep damaged or defective merchandise, the seller is willing to decrease the selling price. The buyer could not pay within the discount period. The buyer purchased a large amount of merchandise and was eligible for a reduced purchase price. The seller wants to keep a customer happy. The seller wants to avoid future lost sales. Sold merchandise was defective or unacceptable.

Answer 1

Answer:

I. In order to entice a customer to keep damaged or defective merchandise, the seller is willing to decrease the selling price.

II. The seller wants to avoid future lost sales.

III. The seller wants to keep a customer happy.

IV. Sold merchandise was defective or unacceptable.

Explanation:

Sales allowance can be defined as a reduction in the price of goods that a seller gives to a customer due to quality issues, incorrect pricing, shipping, etc.

The statements which best summarize why a seller would give a sales allowance are;

I. In order to entice a customer to keep damaged or defective merchandise, the seller is willing to decrease the selling price.

II. The seller wants to avoid future lost sales.

III. The seller wants to keep a customer happy.

IV. Sold merchandise was defective or unacceptable.