Answer:
Letter of Credit (LC)
a) Mbo Limited's bank can issue a letter of credit to Tiffany Anderson Group Ltd.'s bank a credit guarantee by which Mbo's bank guarantees that Mbo Limited will settle Tiffany Anderson Group Ltd in full for the amount involved in their trade relationship. It is usually used by importers and exporters to settle trade credit. It is the most acceptable means of settling debts across national boundaries.
b) A diagram is attached. The procedures are detailed below:
A. A Sales Contract is established between the seller (exporter) and the buyer(importer).
B. The importer makes a request to its bank for issuance of letter of credit.
C. The importer’s bank issues a letter of credit to the exporter’s bank.
D. The exporter’s bank advises on the letter of credit to the exporter.
E. The exporter presents export documents (bill of lading and invoice) to its bank.
F. The exporter’s bank delivers the documents to the importer’s bank.
G. The importer’s bank debits the account of the importer for the stated amount after confirming that the documents are in order.
H. The importer’s bank pays the purchase price to the exporter’s bank.
I. The exporter’s bank credits the exporter’s bank to show payment. This ends the transaction.
c. The letter of credit guarantees both the Mbo Limited and Tiffany Anderson Group Ltd. It guarantees and ensures that payment for goods are not paid to Tiffany Anderson Group Ltd until there is evidence that the correct goods and quantity have been shipped by Tiffany Anderson Group Ltd (through the bill of lading). It also assures Tiffany Anderson Group Ltd of payment for shipped goods since the documents cannot be released to Mbo Limited unless Mbo Limited's account had been debited and the money transmitted to Tiffany Anderson Group Ltd through its bank.
Explanation:
As above.
Internal obstacle can rise from within the organization causing problems while external obstacle is from outside
Answer:
D
Explanation:
A public informant officer is also known as a public relations manager or public affairs specialists. They are those who are responsible for preparing information for the media by writing press releases, arranging interviews with news sources, drafting executive speeches and sponsoring events for publicity.
People from different demographics can be targeted using different media channels as not one source will appeal to everyone. For example, the elderly population would frequently read newspapers whereas teenagers are likely to react more to information reached through social media. At the same time, it is important to know the demographics, as not to cause any offense to anyone. For example, those from different ethnicities and race may react differently to certain information. While one person finds it interesting, another person may be aggravated and find offense in it.
This situation shows that control is needed to discover irregularities and errors.
We can arrive at this answer because:
- A well-established control that evaluates the functioning of a business is essential for the success of an enterprise.
- That's because the control allows all defective elements of any sector of the company, which may be presenting errors and irregularities, to be quickly detected.
- This allows these defects to be resolved and eliminated quickly, ensuring a smooth running of the project and high quality of service.
In this case, we can say that a good control system could have identified the problems with the shipments and solved the problem before the customers were dissatisfied.
More information:
brainly.com/question/14411376?referrer=searchResults
Answer:
c. accept the loan with the lower effective annual rate rather than the loan with the lower annual percentage rate.
Explanation:
In the above scenario it will be a good financial decision to choose a loan with lower effective rate than the one with lower percentage rate.
Effective rate is defined as the real interest rate on a loan or the actual amount that is to be repaid annually on a loan. It gives a truer picture of cost of borrowing money.
Percentage rate is interest paid on a loan expressed as a percentage of the total amount collected. It usually includes various fees and charges collected by the lender. So it is not a true reflection of the cost of borrowing
