Assertion (A): Auto companies and other consumer goods companies offer cash rebates to encourage purchase of the manufacturer’s products within a specified period Reason (R): The same product is priced differently at different times. In the context of the two statements above to pricing strategy, which one of the following options is correct?

The correct answer is: (A) Both (A) and (R) are correct.

Assertion (A) is correct because auto companies and other consumer goods companies often offer cash rebates to encourage purchase of the manufacturer’s products within a specified period. This is done to increase demand for the product and to clear out inventory.

Reason (R) is also correct because the same product can be priced differently at different times. This is often done to reflect changes in demand, costs, or competition. For example, a company might offer a lower price on a product during a slow sales period or when it is trying to compete with a rival company.

Therefore, both (A) and (R) are correct.