Answers.com > Wiki Answers > Categories > Business & Finance > Business and Industry > Business Accounting and Bookkeeping > Differentiate between cash discount and trade discount?

Differentiate between cash discount and trade discount?

Answer:

trade discount . this is also called settlement diccount . trade discount is allowded when early payment required our suppilers .

Note: There are comments associated with this question. See the discussion page to add to the conversation.

First answer by ID2006479059. Last edit by ID2006479059. Question popularity: 6 [recommend question].

[report abuse]

Can you answer these Business Accounting and Bookkeeping questions?

	What are the uses of accounting information to shareholder?	Answer it!
	How do you calculate the net cash provide by operations under the indirect method on a statement of cash flow?	Answer it!
	How do you record donation?	Answer it!
	How do you account for unpaid or outstanding paid up capital?	Answer it!
	What are the responsibilities of auditors?	Answer it!

How cash discount differ from trade discount?
Trade discounts are guranteed discounts a business is getting by purchasing from a seller. Cash discounts are OPTIONAL discounts that a buyer gets if they opt to pay their bill (invoice) earlier then...
Accounting treatment of trade discount and cash discount?
Trade Discount are considered cost of sales/reduction in sales dependant upon who the customer is. Cash Discount is always considered Increasing Interest Expense/Reduction of Interest Expense,...
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...
Difference between cash discount and trade discount?
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...