In International Commerce, an Order Written by an Exporter Instructing

question 68

Multiple Choice

In international commerce, an order written by an exporter instructing an importer to pay a specified amount of money at a specified time is known as a:

• A)bill of lading.
• B)draft.
• C)letter of credit.
• D)counterpurchase.
• E)buyback.

---

Definitions:

Direct Labor-Hours

The total hours of work directly contributing to the production of goods or services.

Casting Department

A specific section within a manufacturing or production facility dedicated to the process of casting, where materials are melted and poured into a mold to make a product.

Finishing Department

The final stage in the manufacturing process where products are completed, packaged, or prepared for sale.

Predetermined Overhead Rate

A rate calculated before the period begins, based on the estimated overhead costs and estimated activity base, used to allocate overhead costs to products.