| 1 |
What is the nature of credit instrument IOU |
- A. An autograph
- B. A monograph
- C. A holograph
- D. A sonograph
|
| 2 |
Which letter of credit is automatically renewed by fulfilling certain conditions |
- A. Fixed
- B. Documentary
- C. Confirmed
- D. Revolving
|
| 3 |
Which of the following is a non-commercial letter of credit |
- A. Irrevocable letter of credit
- B. Red-clause letter of credit
- C. Special letter of credit
- D. Traveller's letter of credit
|
| 4 |
If there is no guarantee to honour a letter of credit then it is called: |
- A. Confirmed letter of credit
- B. Irrevocable letter of credit
- C. Unconfirmed letter of credit
- D. None of the above
|
| 5 |
What is recieved by the post office on money order: |
- A. Profit
- B. Interest
- C. Commision
- D. All of the above
|
| 6 |
If the exporter is not the receiver (beneficiary) of money then a letter of credit is called: |
- A. Resolving
- B. Back to Back
- C. Transferable
- D. None of the above
|
| 7 |
Which of the following is used to finance the people who want to travel abroad |
- A. Traveller's letter of credit
- B. Traveller's cheque
- C. Circular note
- D. All the above
|
| 8 |
Which of the following is useful in facilitating trade relation between the businessmen of different countries |
- A. Bank draft
- B. Money order
- C. Letter of credit
- D. Stock certificate
|
| 9 |
Which of the following parties of a letter of credit is called beneficiary |
- A. Importer
- B. Exporter
- C. Opening bank
- D. Advising bank
|
| 10 |
What does IOU mean |
- A. I am a debtor to you
- B. I am a creditor to you
- C. Both a and b
- D. None of these
|
