Which of the Following Leaves Sellers in a Position Where

question 60

Multiple Choice

Which of the following leaves sellers in a position where most of the problems of international commercial finance work to their disadvantage?

• A) Letters of credit
• B) Dollar drafts
• C) Forfaiting contracts
• D) Cash in advance agreements
• E) Open accounts

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Definitions:

Variable Cost

Costs that change in proportion to the level of goods or services that a business produces.

ATC

Average Total Cost, which is the sum of all production costs divided by the quantity of output produced.

MC

Marginal Cost, the change in total production cost that comes from making or producing one additional unit.

AFC

AFC, or Average Fixed Cost, is the total fixed costs of production divided by the quantity of output produced.