1. List the major categories of financial risk that need to be considered in an international...

 

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1. List the major categories of financial risk that need to be considered in an international transaction? (10 marks) 2. Explain the key differences between Documents Against Payments (D/P) and Documents Against Acceptance (D/A). (10 marks) 3. Your company has recently signed a contract with a Peruvian importer. You are expected to export one million T-shirts over a period of ten months. The Peruvian importer has requested a delivery on a monthly basis. You are considering asking for payments via letters of credit (L/C). What conditions would you, as the exporter, prefer having on the L/Cs? What conditions would you like to avoid on the L/Cs? (10 marks) 1. List the major categories of financial risk that need to be considered in an international transaction? (10 marks) 2. Explain the key differences between Documents Against Payments (D/P) and Documents Against Acceptance (D/A). (10 marks) 3. Your company has recently signed a contract with a Peruvian importer. You are expected to export one million T-shirts over a period of ten months. The Peruvian importer has requested a delivery on a monthly basis. You are considering asking for payments via letters of credit (L/C). What conditions would you, as the exporter, prefer having on the L/Cs? What conditions would you like to avoid on the L/Cs? (10 marks)

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1 List the major categories of financial risk that need to be considered in an international transaction 10 marks There are 5 main types of financial risk market risk credit risk liquidity risk legal ... View the full answer