Samsung sells electronics to a French firm. In return, the French firm's bank, Credit Agricole, acknowledges it will pay Samsung after the items are delivered to its client. Which of the following is correct? Samsung has most probably used

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Documentary credit is a payment method in which a bank acts as an intermediary between a buyer and a seller. The bank guarantees that the buyer will pay the seller once the goods have been delivered. This is a common method of payment in international trade, as it reduces the risk for both the buyer and the seller.

Samsung Sells Electronics to a French Firm