30. Which is the most appropriate method of payment for the exporter in the following
case? A contract for supply of cloth worth $5,000 per month to the government of
Oceanea – a prosperous country. Duration of the contract is 2 years, but renewable.
Contract represents 25% of turnover.
A. Open account with bank guarantee
B. Open account with export credit insurance
C. If possible, a bank guarantee. Otherwise, export credit insurance
D. Confirmed letter of credit
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