Which of the Following Normally Takes the Form of a Wire

question 86

Multiple Choice

Which of the following normally takes the form of a wire transfer of money from the bank account of the importer directly to that of the exporter prior to shipment of merchandise?

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

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Definitions:

Production Possibility Frontiers

A portrayal conveying the absolute production potential for two commodities, hinging on distinct inputs such as resources and supplementary factors.

International Trade

The exchange of goods and services across international borders or territories, influenced by comparative advantages, exchange rates, and international agreements.

Comparative Advantage

The ability of an individual or country to produce a good or service at a lower opportunity cost than another producer, supporting international trade.

Automobiles

Self-propelled vehicles designed primarily for passenger transportation.