Refer to the 2012 Annual Report (for the fiscal year ended February 3, 2013) for The Home

Question:

Refer to the 2012 Annual Report (for the fiscal year ended February 3, 2013) for The Home Depot, Inc., in Appendix A.
In the Notes to Consolidated Financial Statements, find the paragraph, Vendor Allowances.
1. Describe how the vendor allowance is recorded and reflected in the financial statements.
2. Do all vendors qualify for a vendor allowance?