_________ secures performance of a non-monetary obligation and serves as a default device when performance is not satisfactory:

Question

Quizplus · Accepted Answer

A standby letter of credit and demand guarantee are both types of instruments that secure performance of a non-monetary obligation and serve as a default device when performance is not satisfactory. A transferable letter of credit, on the other hand, is a financial instrument used in trade finance to allow a beneficiary to transfer all or part of the payment they receive to another party. Therefore, options A and B are the correct choices for this question.

_________ Secures Performance of a Non-Monetary Obligation and Serves as a Default