A time draft that has been signed by the customer is termed:
A) a trade discount.
B) a conditional sale.
C) a trade acceptance.
D) an overdue account.

Question

Quizplus · Accepted Answer

A time draft that has been signed by the customer is termed a trade acceptance. This is a document used in trade transactions where a seller draws a bill of exchange on the buyer, who accepts it by signing it. The buyer becomes legally obligated to pay the seller the amount due at a later date.

A Time Draft That Has Been Signed by the Customer