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What Is the Biggest Advantage of Using a Letter of Credit

Question 80

Multiple Choice

What is the biggest advantage of using a letter of credit system?


A) The exporter is guaranteed pre-export financing.
B) It allows the importer time to resell the merchandise before requiring payment.
C) The trust is established,for the importer and exporter,because of a reputable bank.
D) It guarantees the importer extra funds for other purposes.

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