Widely-Used Payment Methods in International Trade Include

question 13

Multiple Choice

Widely-used payment methods in international trade include

• A) working capital.
• B) corporate guarantees.
• C) closed account terms.
• D) cash in advance.

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Definitions:

Merchandising Company

A business that purchases finished goods for the purpose of resale without further processing.

Credit Sales

Sales made on credit, where payment is received after the goods or services are delivered.

Gross Profit

The difference between revenue and the cost of goods sold, indicating the efficiency of a company in producing and selling its products.

Operating Expenses

Costs associated with the day-to-day functioning of a business, such as rent, utilities, payroll, and materials, excluding the cost of goods sold.