What is defined as the starting price for negotiation in a transaction?

The starting price for negotiation in a transaction is referred to as the quoted rate. This term represents an initial offer or proposal made by a seller or provider that can serve as a baseline for further discussions and negotiations. The quoted rate is significant as it sets the parameters for the negotiation, allowing both parties to assess whether they can agree on a finalized price.

In transactions, a quoted rate can evolve as negotiations progress, depending on various factors such as quantity, service conditions, or specific customer requirements. Understanding this term is essential for both buyers and sellers, as it fosters clarity and aids in reaching a mutually acceptable price point. The presence of a starting figure helps to streamline the negotiation process, providing a clear point from which discussions can begin.