Which of the following is true about a trade acceptance?
A)The buyer is the payee.
B)The seller is both the drawer and payee.
C)The draft is countersigned by the drawee's bank.
D)The draft is only as good as the drawer's creditworthiness.

Question

Quizplus · Accepted Answer

A trade acceptance is a type of draft where the seller is both the drawer and the payee, meaning the seller creates the draft and is also the one to receive the payment.

Which of the Following Is True About a Trade Acceptance