Which of the Following Financing Methods Entails the Greatest Risk

question 76

Multiple Choice

Which of the following financing methods entails the greatest risk for importers?

• A) documentary collection
• B) advance payment
• C) confirmed letter of credit
• D) open account

---

Definitions:

Compound Statement

A series of statements enclosed by braces that are executed sequentially in programming.

Compile

The process of converting source code written in a high-level programming language into machine code that can be executed by a computer.

Runtime Error

An error that occurs during the execution of a program, often due to illegal operations or flawed logic.

Compile

The process of converting source code written in a high-level programming language into machine code that a computer can understand and execute.