Question: The different forms of export financing distribute risks differently between the exporter and the importer. Analyze the distribution of risk in the following export-financing instruments:

The different forms of export financing distribute risks differently between the exporter and the importer. Analyze the distribution of risk in the following export-financing instruments:
a. Confirmed, revocable letter of credit
b. Confirmed, irrevocable letter of credit
c. Open account credit
d. Time draft, D/A
e. Cash with order
f. Cash in advance
g. Consignment
h. Sight draft

Step by Step Solution

3.34 Rating (166 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

a The revocable letter of credit can be revoked without notice at any time up to the time a draft is presented to the issuing bank As such it is favor... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

299-B-F-F-M (3110).docx

120 KBs Word File

Students Have Also Explored These Related Finance Questions!