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Explain the significance of each of the following documents as used international trade. (i)Bill of lading (ii)proforma invoice (iii)indent (iv)letter of credit

      

Explain the significance of each of the following documents as used international trade.
i)Bill of lading
ii)proforma invoice
iii)indent
iv)letter of credit

  

Answers


Davis
i)– Bill of landing: it is a document used in transporting goods by ship. It enables the holder to take possession of goods. It entitles the holder to take possession to goods imported.
ii) Performa invoice- a document sent in advance of goods being
exported.
iii)Indent- an order placed with agent of exporter. It is used to assist
the exporter of agent to know where to buy goods. It used to assist
the agent to select on exporters.
iv)Letter of credit – an official letter from a bank allowing another
bank in foreign country to pay an exporter on behalf of the importer.
Githiari answered the question on September 22, 2017 at 20:09


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