A form of time draft known as a trade acceptance is used as a credit device in commercial transactions.

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A trade acceptance is a type of time draft that is used as an instrument of credit in commercial transactions. It is a written promise to pay a certain amount of money at a specific future date, and it is typically used in international trade transactions. The seller of goods or services draws up the trade acceptance and sends it to the buyer, who accepts it by signing it. The buyer is then liable to pay the amount specified on the trade acceptance at the specified future date. This allows the seller to receive payment for their goods or services at a future date, which can help to smooth out cash flow and reduce the need for other forms of credit.

A Form of Time Draft Known as a Trade Acceptance