A(n)_____ is a document issued by a bank that guarantees a buyer's payment for a specified period of time upon compliance with specified terms.
A)documentary draft
B)letter of credit
C)import document
D)freight document

Question

Quizplus · Accepted Answer

A letter of credit is a document issued by a bank that guarantees a buyer's payment for a specified period of time upon compliance with specified terms. It is commonly used in international trade transactions to ensure payment and reduce risk for both the buyer and seller.

A(n)_____ Is a Document Issued by a Bank That Guarantees