John's Ice Cream Company Purchases Milk and Cream from a Local

Multiple Choice

John's Ice Cream Company purchases milk and cream from a local dairy farm. The dairy farm's standard pricing policy is 60 days to receive full payment. However, they offer a 5 percent discount on the total purchase price if John's Ice Cream Company pays the full amount (less discount) within 30 days. This is an example of offering:

A) cash discounts.
B) flexible pricing policies.
C) promotional allowances.
D) quantity discounts.