When credit is offered with only the invoice as a formal instrument of credit, the credit procedure is called:
A) invoice account.
B) open account.
C) unsecured account.
D) unsecured note.

Question

Quizplus · Accepted Answer

Open account credit is a form of credit where the seller ships the goods or provides the service first and expects the payment at a later date, without requiring a formal financial instrument other than the invoice itself.

When Credit Is Offered with Only the Invoice as a Formal