Question: 1. Are seasonal discounts appropriate in agricultural businesses (which are certainly seasonal)?
2. What are the effective annual interest rates for the following cash discount terms:
(a) 1110, net 20;
(b) 1/5, net 10;
(c) net 25?
3. Why would a manufacturer offer a rebate in-stead of lowering the suggested list price?
4. How can a marketing manager change her F.O.B. terms to make her otherwise competitive marketing mix more attractive?