Global Trade Finance Quiz

What does Global Trade Finance refer to?

• Financial activities and instruments that facilitate international trade transactions

• Domestic trade transactions

• Real estate transactions

• Stock market transactions

What are the modes of payment for imports according to Section 8?

• Letter of Credit (L/C), Documents Against Payment (D/P), Direct Remittance (DR), Advance Payment

• Documents Against Acceptance (D/A), Open Account (O/A), Self-Funded/No Dollar Imports, Importations on Consignment Basis

• Advance Payment, Open Account (O/A), Documents Against Acceptance (D/A), Direct Remittance (DR)

• Letter of Credit (L/C), Documents Against Payment (D/P), Open Account (O/A), Self-Funded/No Dollar Imports

What is the general policy for export trade transactions according to Section 15?

• Allow commodity exports without any restrictions

• Prohibit commodity exports for public health reasons

• Regulate commodity exports for local industry development

• Encourage commodity exports for foreign exchange earnings

What are the acceptable currencies for export payment modes according to Sections 17-18?

• US Dollar, Euro, Japanese Yen, British Pound

• US Dollar, Euro, Japanese Yen, British Pound, Philippine Peso

• Swiss Franc, South African Rand, Singapore Dollar, New Zealand Dollar

• Chinese Yuan, Indian Rupee, Australian Dollar, Canadian Dollar

What is the regulation for foreign/foreign currency loans and guarantees according to Section 22?

• Strict regulation of foreign/foreign currency loans and guarantees

• Encouragement of foreign/foreign currency loans and guarantees

• No regulation of foreign/foreign currency loans and guarantees

• Partial regulation of foreign/foreign currency loans and guarantees

What are the prohibited commodities for importation according to the general policy?

• Commodities not allowed under existing laws

• Commodities funded by importer's foreign currency deposit accounts

• Commodities that require clearances/permits

• Commodities that are freely importable

What are the negotiation procedures for disposition of export proceeds according to Sections 19-20?

• Proceeds can be sold for pesos or retained, but not deposited in foreign currency accounts

• Proceeds can only be retained or deposited in foreign currency accounts

• Proceeds can be sold for pesos, retained, or deposited in foreign currency accounts

• Proceeds can be sold for pesos or deposited in foreign currency accounts, but not retained

What are the regulated commodities for export according to the general policy?

• Commodities that are funded by exporter's foreign currency deposit accounts

• Commodities that are prohibited/sanctioned by law

• Commodities that require clearances/permits

• Commodities that are freely exportable