Economics · International Trade Finance
What is a mandatory requirement for a payment to be executed under a Documentary Credit (Letter of Credit)?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1The physical goods must be completely unpacked and tested by the buyer at the destination before payment approval.
- 2The seller must present the required documents in strict compliance with the terms and conditions of the Letter of Credit.✓
- 3The buyer must voluntarily initiate the payment manually from their corporate account.
- 4The buyer's bank must independently approve the seller's internal creditworthiness.
Correct answer
The seller must present the required documents in strict compliance with the terms and conditions of the Letter of Credit.
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Economics?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice International Trade Finance MCQs →Want more practice questions on International Trade Finance?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Economics · International Trade Finance