markdown

Definition

The difference between the highest current bid price among dealers and the lower price that a dealer pays to a customer. opposite of markup.

Use markdown in a sentence

You need to try and make sure that you are making the right markdown when you decide to lower the price.

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The markdown calculation was larger than usual so we had decided to rethink our strategy of buying from the dealer.

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The increasing amount of markdown for only one customer raised eyebrows and red flags over at the SEC, preceding the current investigation.

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