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[quote user="henry6"] No...discounts are offered upfront when it is a known factor, i.e., a guarantee minimum amount of money to be spent or milage or whatever the criteria....it is money in the bank, it can be used as collateral, bookkeeping and transaction costs are minimized, etc.  Buy a doughnut, buy a half dozens, buy a dozen and each price per unit is different.  Seat discounts at the last minute to fill seats are different than bulk, long term discounts.  If one knows business, selling, etc. then it makes sense...and dollars, too.[/quote] Irrespective of when they offered, for whatever period of time, if a business offers discounts that don't cover the variable costs and the fixed costs or at least make a contribution to the fixed costs, it ultimately goes out of business.  It is a relatively simple accounting problem.
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