The draft that allows a period of 120 days to pay is very attractive for the importer because it allows time for the importer to sell the goods before having to pay for them.

Question

Quizplus · Accepted Answer

This draft payment term is attractive to importers because it provides them with a 120-day credit period, allowing them to potentially sell the imported goods before needing to pay for them, improving cash flow and reducing upfront capital requirements.

The Draft That Allows a Period of 120 Days to Pay