In a Typical International Trade Transaction, the Order of Activity

question 14

Multiple Choice

In a typical international trade transaction, the order of activity would be which of the following?

• A) The foreign buyer places an order; The domestic manufacturer ships to the buyer; The manufacturer's bank presents a draft and documents to the buyer's bank for acceptance; The buyer's bank submits payment to the manufacturer's bank.
• B) The domestic manufacturer ships to the buyer; The buyer's bank submits payment to the manufacturer's bank; The foreign buyer places an order; The domestic manufacturer ships to the buyer; The manufacturer's bank presents a draft and documents to the buyer's bank for acceptance.
• C) The foreign buyer places an order; The manufacturer's bank presents a draft and documents to the buyer's bank for acceptance; The domestic manufacturer ships to the buyer; The buyer's bank submits payment to the manufacturer's bank.
• D) The domestic manufacturer ships to the buyer; The manufacturer's bank presents a draft and documents to the buyer's bank for acceptance; The foreign buyer places an order; The buyer's bank submits payment to the manufacturer's bank.

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Definitions:

Transformational Equivalence

The ability to recognize that an object or problem can be represented in different ways while retaining its core properties or meaning.

Empirical Evidence

Information acquired by observation or experimentation that serves as the basis for knowledge or justification.

Mental Images

Visual representations in the mind of an object or scene which are not currently being sensed but recalled or imagined.

Structural Equivalence

A concept in social network analysis indicating that individuals have similar relationships to others in the network, although they may not be directly connected.