What does sales return and allowances include? Why does theseller entertain these complains after the...

What does sales return and allowances include? Why does the seller entertain these complains after the merchandise is sold?

Expert Solution

Sales return and allowances happen when a customer receives a faulty, defected or damaged product. In sales return the customer returns the product and gets a complete refund and in case of a sales allowance the customer agrees to keep the defected product in after a certain reduction in the selling price.

Sellers entertain these complains even after the merchandise is sold because the at the time of selling it the seller agrees to provide the merchandise warranty for a certain period of time.

keosha answered 3 years ago

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