Supermarket companies sometimes receive a discount in advance from suppliers for meeting a specified sales target. Such discounts may be paid in advance. The accounting treatment of the discount could be dealt with in several ways: (1) it could be included in the profit and loss account for the period in which it was received; or (2) it could be amortized (apportioned) over the span of the contract; or (3) it could be included in the profit and loss account for the period in which the sales target is met.

To what extent is the accounting treatment of such discounts an ethical decision?

Prepare some notes indicating how you think this problem should be dealt with.