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Name two situations where cash would be remitted to a customer from a retailer after purchase.

a) Returns and allowances, damaged goods
b) Early payment, damaged goods
c) Discounts, returns and allowances
d) Early payment, discounts

1 Answer

2 votes

Final answer:

Cash is remitted to a customer from a retailer typically under situations such as Returns and allowances, and when dealing with damaged goods (option a) , which are covered by the store's return policy or product warranties. Unstated guarantees, like those in restaurants and movie theaters, also result in refunds or credits to maintain customer satisfaction.

Step-by-step explanation:

Two situations where cash would be remitted to a customer from a retailer after purchase are: Returns and allowances, and damaged goods. These are situations where the retailer provides the customer with a refund or compensation for the items purchased. For instance, if a customer is not satisfied with a product, they may return it under the store's return policy. If the product is faulty or damaged upon purchase, the customer is entitled to a refund, replacement, or repair under the retailer's warranty or guarantee terms.

Restaurants and movie theaters also sometimes offer refunds or credits even when explicit money-back guarantees or exchange policies are not advertised. This practice is a form of customer service to maintain good relations and customer satisfaction, often referred to as an unstated guarantee.