Definition of Price agreement:
An agreement between a supplier and business customer regarding the pricing of a specific commodity. Unlike a quote that may expire or be changed at any time, an agreement is usually good for a specified period of time. It may be a fixed price, or the price may be tied to a market index. For example, the cost of fuel may be calculated as the daily average cost at the nearest distribution hub plus a specific margin.
Meaning of Price agreement & Price agreement Definition