Which pricing concept applies to reduce the bill when a large quantity is ordered?

• A. Rebates
• B. Price quotation
• C. Quartile
• D. Quantity discount

Answer: (D)

Quantity discount is the pricing approach where the price per unit decreases as the order size grows. It’s designed to reward buying in bulk by lowering the overall bill as you reach higher quantity thresholds. This can be offered as a straight per-unit discount, a tiered price structure, or volume-based pricing, so the more you order, the less you pay per unit and often the less you pay in total.

This mechanism fits bulk purchases because it directly links purchase volume to cost, encouraging larger orders and helping suppliers move larger quantities.

Rebates are post-purchase refunds or incentives delivered after the sale, typically requiring a claim or form; they don’t reduce the bill at the point of sale. A price quotation is simply an estimated price for a proposed transaction, not an ongoing discount tied to quantity. Quartile is a statistical term unrelated to pricing.