Which of the Following Is Not True Regarding a Banker's

question 19

Multiple Choice

Which of the following is not true regarding a banker's acceptance?

• A) It can be beneficial to the exporter, as he does not have to worry about the credit risk of the importer.
• B) It can be beneficial to the importer, as he may have greater access to foreign markets when purchasing supplies.
• C) It can be beneficial to the bank accepting the draft in that it earns a commission for creating an acceptance.
• D) It is a sight draft.
• E) All of the above are true.

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Definitions:

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U.S. program for the reconstruction of post–World War Ⅱ Europe through massive aid to former enemy nations as well as allies; proposed by General George C. Marshall in 1947.

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Anticommunist Regime

A government or political system actively opposed to communism, often implementing policies to restrict or eliminate communist influence within its jurisdiction.