Economics · Letters of Credit

Which documentary credit instrument is typically used as a backup for performance or financial obligations in case of default?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Confirmed LC
2Sight LC
3Standby LC✓
4Usance LC

Correct answer

Standby LC

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Which documentary credit instrument is typically used as a backup for performance or financial obligations in case of default?

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