Respuesta :
Distributor will receive 1.05 in promotion allowance for each unit.
What is meant by promotion allowance?
Promotional Allowances are items and services provided to hotel guests as an incentive to gamble there, such as free food, drinks, entertainment, and parking. Price reductions known as "promotional allowances" are provided by a product's producers or suppliers to commercial partners like distributors in an effort to entice them to promote the product and increase sales.
Discounts are the term for incentives used to encourage sales, whereas allowances are the term for incentives used to encourage payments (which apply only to purchases made on credit). Retail and wholesale businesses employ discounts most frequently (for instance, when a store has a 10% off sale).
Given;
Volume discount = 30%
promotion allowance = 15%
Distributor receive promotion allowance for each unit = Price after volume discount * % of promotion allowance
30-100= 70%
($10x70%)*5= 1.05 Per Unit
Distributor will receive 1.05 in promotion allowance for each unit.
To learn more about promotion allowance refer to:
https://brainly.com/question/13362005
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