A ________ Extends Credit to the Importer by Requiring Payment

question 60

Multiple Choice

A ________ extends credit to the importer by requiring payment at some specified time after the importer receives the goods.

• A) sight draft
• B) time draft
• C) bill of lading
• D) bill of exchange

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Definitions:

FICA Tax

Federal Insurance Contributions Act tax, which funds Social Security and Medicare, required to be paid by both employees and employers.

Federal Income Tax

A charge imposed by the United States federal government on the yearly income of individuals, corporations, trusts, and other legal bodies.

Withholding Allowance

Withholding allowance is an exemption that reduces how much income tax an employer deducts from an employee's paycheck, based on the number of allowances claimed.

Federal Income Tax

A financial duty enforced by the federal government on the yearly revenues of persons, corporations, trusts, and different legal organizations.