--%>
Assignment Help - homework help

Letter of Credit

What do you mean by Letter of Credit?

E

Expert

Verified

Letter of Credit (abbreviated as LC) is a set of documents that are very necessary for goods being transported from one country to the other.  This set comprises that of invoices, shipping documents, guarantees and others.

It is a letter of credit points out that for the customer’s ability (that is, credit limit) and in other words LC is a commitment from bank to the receiver for the payment.

   Related Questions in Financial Accounting

  • Q : International portfolio for buying

    Why it is easier for an investor willing to diversify his portfolio internationally for buying depository receipts instead of actual shares of the company?

    		•
  • Q : Abatement The process of allocating the

    The process of allocating the arrears of estate assets to the distributions. Distributions from the estate proceed in a particular order starting with specific legacies, effusive legacies, general legacies, and finally residuary legacies. If legacies assets are not capable to meet the will's prov

    		•
  • Q : Claim depreciation When an asset is

    When an asset is purchased and the similar is not employed for the financial year, must the company charge the depreciation and the reason for the similar?

    		•
  • Q : What is Asset Management Asset

    Asset Management: The Asset management has two common definitions, one associating to advisory services and the other associated to corporate finance. In the initial instance, an advisor or financi

    		•
  • Q : Currency trading at discount or at

    What is currency trading at discount or at premium in forward market?

    		•
  • Q : Explain Return on Assets or ROA Return

    Return on Assets (ROA): It is an indicator of how gainful a company is associative to its net assets. ROA provides an idea as to how proficient management is at employing its assets to produce earnings. Computed by dividing a company's annual earnings

    		•
  • Q : Define Asset Purchase Asset Purchase :

    Asset Purchase: Agreement between seller and buyer to obtain an organization's assets. In an asset purchase, only particular assets transfer ownership from seller to the buyer. Assets should be re-titled to the latest owner who has the capability to d

    		•
  • Q : What is Death spiral What is Death

    What is Death spiral? Is it related to cost accounting. Illustrate it.

    		•
  • Q : Article on Supplier selection Write an

    Write an article why Supplier selection has been a critical decision to be made for any company?

    		•
  • Q : Describe the term Capital expenses

    Describe the term Capital expenses. Also write down its formula.

    		•