Discount

1. An inducement offered by a creditor to debtors to pay promptly. (Cash Discount).
2. A deduction from the catalogue price of an article generally allowed by a wholesaler to a retailer, that is, trade discount.
3. With reference to a bill of exchange, to discount a bill means to acquire it by purchase for a sum less than its face value, the amount of this discount depending partly on the length of the unexpired term of the bill and partly on the amount of risk involved.
4. When a recently issued stock falls below its issue price it is said to stand at a discount.