Abstract:

The actual market economy lives a pretty high level competition, in order to survive as a company, with a stable trend in business processes, the management should maintain the clients through different ways as high quality products/services, discounts, loyalty programs. This article is based on deduction method and will provide general concepts about discounts as a marketing tool for business and more details from accounting point of view. The commercial reductions of prices are strongly correlated to company’s revenue and create often troubles to the accounting and financial reporting responsible. The author will propose different ways of discounts treatment in accordance with international standards for financial reporting.