A company proposes that in exchange for a hard-currency sale,it will make a hard-currency purchase of an unspecified product from the buyer nation in the future.The company is proposing which of the following?
A)Counterpurchase
B)Offset
C)Switch trading
D)Barter

Question

Quizplus · Accepted Answer

This is an example of an offset agreement, where a company offers to make a purchase from the buyer nation in the future in exchange for a hard-currency sale. In offset agreements, the purchases are often related to the original sale, such as military equipment or technology. Counterpurchase involves a specific, predetermined purchase by the buyer nation, while switch trading involves a third party facilitating the transaction. Barter involves the direct exchange of goods or services without involving currency.

A Company Proposes That in Exchange for a Hard-Currency Sale,it