Q: 13
Fly, a manufacturer of indoor and outdoor heaters, has production facilities that are not running at
their full capacity because of piled up inventory. Fly offers a discount to retailers who purchase
heaters while the weather is still warm, because the cold months are still at least three months away.
Based on historical sales data, Digimart, a retailer, picks up 200 heaters from Fly at a discount of 30%
on the usual price. This scenario is an example of a(n) _____.
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