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Question 1 When comparing a letter of credit and a banker's acceptance for financing international business transactions, a letter of credit O pays a specified amount if certain conditions are met. Conversely, a banker's acceptance represents an unconditional promise to pay provides financing directly between buyers and sellers in different countries. A banker's acceptance provides an arrangement in which a bank serves as a broker taking title to the goods. provides payment anywhere in the world. A banker's acceptance pays in areas in which the bank has a branch. requires both the buyer and seller to deal in the same currencies. A banker's acceptance provides for currency exchange.
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