Reduction given to company customers for early payment is a:

A) sales returns and allowance.
B) purchase discount.
C) sales discount.
D) customer discount.

Sales Discount

A sales discount is a reduction in the price of a product or service offered by a seller to a buyer, usually for early payment or to incentivize purchase.

Purchase Discount

A reduction in the price paid for goods or services if payment is made within a specified time frame.

Early Payment

A financial transaction where a debt or obligation is settled before its due date.