Under clean payment terms, the seller will instruct the carrier to issue:

(a) A bill of lading consigned to order

(b) A bill of lading consigned to the seller

(c) A bill of lading consigned to the buyer

(d) A bill of lading consigned to the order of a bank

2. Under d/p payment terms, the risk to the seller is:

(a) The buyer will reject the documents

(b) The buyer will not pay for the merchandise after obtaining the documents

(c) The buyer will default on the draft

(d) The bank will not honor the documents

3. Which of the following payment methods is least favorable to the importer:

(a) D/A 30

(b) Prepayment

(c) Net 30

(d) D/P

4. Under the payment term d/a 60, the importer's account will be charged (the importer will pay):

(a) 60 days after the date of the bill of lading

(b) 60 days after the documents reach the bank in the country of the importer

(c) 60 days after the seller submits the documents to the bank in the country of the exporter

(d) 60 days after the importer "accepts" the documents

5.Which of the following is not a form of clean payment

(a) Net 30

(b) Payment prior to shipment

(c) Documents against payment

(d) All of these are forms of clean payment