Exporters can hold a banker's acceptance until the date at which payment is to be made, but they frequently sell the acceptance before then at a discount to obtain cash immediately.

Question

Quizplus · Accepted Answer

Banker's acceptances are negotiable instruments that can be sold in the secondary market before their maturity date, allowing exporters to obtain immediate cash by selling them at a discount.

Exporters Can Hold a Banker's Acceptance Until the Date at Which