Under collection once the importer refuses to pay, the___will be responsible for the cargo release, customs clearance , warehousing, and reselling in the importing country.
A. drawee
B. collecting bank
C. principal
D. presenting bank
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The bill of exchange used in D/A must be a________
A. sight bill
B. bank bill
C. bank accepted bill
D. usance bill
If a bank other than the issuing bank guarantees the payment under an L/C ,this L/C is______
A. a confirmed credit
B. an irrevocable credit
C. non-transferable credit
D. a negotiable credit
A____credit is normally used in processing trade.
A. back to back
B. revolving
C. reciprocal
D. red clause
Which of the following statements is NOT true about remittance? ______
A. It provides highest security to the buyer but not the seller.
B. it is cheaper to use than the other terms of payment
C. It is based on commercial credit , not bank credit.
D. It may impose high risk either to the buyer or to the seller.
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