The Lack of a Letter of Credit Exposes the Exporter

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 pre-export financing.
D) filing a suit against the importer in court.
E) taking financial aid from Ex-Im Bank.