Which of the Following Is True of Open Accounts

question 24

Multiple Choice

Which of the following is true of open accounts?

• A) Sales on open accounts are very common as a method of payment in foreign trade.
• B) Sales on open accounts are generally recommended when special merchandise is ordered by the buyer.
• C) Sales on open accounts are not generally recommended when there is political unrest in the importer's country.
• D) When the country of the importer imposes difficult exchange restrictions, the best payment arrangement recommended is open accounts.
• E) Sales on open accounts are less risky for the seller when it involves new buyers.

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Definitions:

Soap Micelle

Spherical aggregates formed by soap molecules in aqueous solution, where the hydrophobic tails are sequestered inwards and the hydrophilic heads face outward.

Exterior Surface

The outermost boundary or layer of an object, material, or geometrical space that is exposed to the environment or another medium.

Hydrophilic

Describes molecules or substances that have a strong affinity for water, often because of the presence of polar groups.

Surface Carboxylate Groups

Functional groups on a solid surface where a carbon atom is double-bonded to an oxygen atom and single-bonded to another oxygen atom that is in turn bonded to a metal or hydrogen, typically present on surfaces for chemical reactivity.