Which of the following instruments of payment could be used in international trade?
COMMERCE
WAEC 2021
Which of the following instruments of payment could be used in international trade?
- A. Promissory note
- B. B. Postal order
- C. I. O.U
- D. Bill of exchange
Correct Answer: D. Bill of exchange
Explanation
A bill of exchange is a document used in international trade that binds one party to pay a fixed sum of money to another party on demand or at some point in the future. It is simply sent by the seller to the buyer directing the buyer to make payment for traded items within a specified time frame.
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