An agreement by a person who issues a letter to pay a sum of money on receipt of an invoice and other documents is called a ________.
A)Letter of credit
B)Letter of acknowledgement
C)Letter of agreement
D)Negotiated credit instrument letter
E)Letter of simple contract

Question

Quizplus · Accepted Answer

A)A letter of credit is an agreement by the issuer to pay another party a sum of
money on receipt of an invoice and other documents.
B)A letter of credit is an agreement by the issuer to pay another party a sum of money on receipt of an invoice and other documents.
C)A letter of credit is an agreement by the issuer to pay another party a sum of money on receipt of an invoice and other documents.
D)A letter of credit is an agreement by the issuer to pay another party a sum of money on receipt of an invoice and other documents.
E)A letter of credit is an agreement by the issuer to pay another party a sum of money on receipt of an invoice and other documents.

An Agreement by a Person Who Issues a Letter to Pay