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Guarantee to an exporter that the importer of his goods will pay immediately for the goods ordered by him, is known as

  1. A
    Letter of credit
  2. B
    Laissez-faire
  3. C
    Inflation
  4. D
    None of the above

Solution & Step-by-step Explanation

A Letter of Credit (LC) is a financial guarantee document issued by an importer's bank ensuring that the exporter will receive the full and timely payment for goods ordered, provided specific documentation and terms are met.

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Guarantee to an exporter that the importer of his goods will pay immediately for the goods ordered by him, is known as
A
Letter of credit
B
Laissez-faire
C
Inflation
D
None of the above

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