The Lack of a Letter of Credit Exposes the Exporter

question 80

Multiple Choice

The lack of a letter of credit exposes the exporter to the risk that the foreign importer will default on payment.The exporter can insure against this possibility by:

• A)approaching the World Bank.
• B)buying export credit insurance.
• C)obtaining preexport financing.
• D)filing a suit against the importer in court.

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Definitions:

Defensive Tactics

Strategies employed to protect oneself or an organization from criticism, competition, or other threats.

Polyphasic Activity

Polyphasic Activity refers to the distribution of sleep or other activities into multiple short periods throughout a 24-hour cycle, contrary to having one long uninterrupted period.

Flame

In online communications, a message intended to insult or provoke; or, to emit a stream of hot gas from combustion.

Kinesics

The study of how body movements and gestures serve as a form of non-verbal communication.