A Statement by a Bank Guaranteeing Acceptance and Payment of a Draft

question 56

Multiple Choice

A statement by a bank guaranteeing acceptance and payment of a draft up to a stated amount is called a(n)

• A) bill of exchange.
• B) commercial letter of credit.
• C) time draft.
• D) documentary draft.

---

Definitions:

Population Standard Deviation

A measure of the dispersion of a set of data from its mean, calculated for the entire population.

Confidence Interval

A statistical range, with a given probability, that contains the true parameter of the population.

Mean

The mean is the average of a set of numerical values, calculated by summing all the values and dividing by the count of the values.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values from the mean.