Hartley,a dress designer,arranges an apparently great deal with a company in Ireland,called Fashion,which has agreed to purchase a number of Hartley's dresses.The manager of Fashion,however,insists on delivery of the dresses before payment will be provided.Which of the following would be a good idea for Hartley?
A) Hartley should insist on a documentary letter of credit provided by an issuing bank promising payment upon proof of delivery of the dresses.
B) Hartley should insist on a letter of credit issued by the buyer promising payment upon delivery of the dresses.
C) Hartley should personally deliver the dresses so that she can demand payment while there.
D) Hartley should turn down the deal because it is too risky.
Correct Answer:
Verified
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