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Question

Economics Question on Economics and economic theories

__is issued by a bank at the request of an importer. It states that the bank will pay a specified sum of money to a beneficiary, normally the exporter, on presentation of specified documents.

A

Bill of Exchange

B

Bill of Lending

C

Letter of Credit

D

Bank overdraft

Answer

Letter of Credit

Explanation

Solution

The correct option is (C):Letter of Credit