The trade discount is first calculated on the catalogue (list) price.(True/False)

Answer

To determine whether the statement "The trade discount is first calculated on the catalogue (list) price" is true or false, we can analyze the components of the statement step by step.

### Step 1: Understand the terms
- **Trade Discount**: This is a reduction in the listed price given by the seller to the buyer, usually based on the volume of purchase or the relationship between the buyer and seller.
- **Catalogue (List) Price**: This is the original price of the product as listed in the catalogue before any discounts are applied.

**Hint**: Familiarize yourself with the definitions of trade discount and catalogue price to understand the context of the statement.

### Step 2: Analyze the statement
The statement claims that the trade discount is calculated on the catalogue price. This means that before any discounts are applied, the trade discount is taken from the original price listed in the catalogue.

**Hint**: Consider how discounts are typically applied in sales transactions.

### Step 3: Consider conditions
The statement can be true under certain conditions. Specifically, if a buyer is eligible for both trade and cash discounts, the trade discount is indeed calculated first on the catalogue price. This is an important condition that affects the validity of the statement.

**Hint**: Think about scenarios where multiple discounts might be applied and how they interact.

### Step 4: Conclusion
Since the statement holds true when the condition of both trade and cash discounts being applicable is met, we conclude that the statement is true.

**Hint**: Remember that context matters in determining the truth of statements involving discounts.

### Final Answer
The statement "The trade discount is first calculated on the catalogue (list) price" is **True**.