A．He can send the draft to the correspondent bank for immediate payment.B．He can prese

？

A．He can send the draft to the correspondent bank for immediate payment.

B．He can present it to the bank against which it is drawn for payment.

C．He can ask the buyer to pay the money.

D．He can discount the draft at his bank and get money immediately.

What will the correspondent bank do in the settlement according to this passage？

A．It will make payment in dollars against the banker's draft.

B．It will send the draft to the bank in Britain.

C．It will issue a documentary credit.

D．It will have an agreement with the bank mentioned.

What will the correspondent bank do in the settlement according to this passage？

A．It will make payment in dollars against the banker's draft.

B．It will send the draft to the bank in Britain.

C．It will issue a documentary credit.

D．It will have an agreement with the bank mentioned.

can

A．send the draft to the correspondent bank for immediate payment

B．present it to the bank against which it is drawn for payment

C．ask the buyer to pay the money

D．discount the draft at his bank and get money immediately

Why is the British bank able to offer its customer a banker's draft drawn in dollar？

A．Its US correspondent bank prefers to make the payment.

B．It will send dollar in cash by airmail.

C．It has a dollar account with another bank in an American city where the beneficiary lives.

D．Its customer has a dollar account with it.

Why is the British bank able to offer its customer a banker's draft drawn in dollar？

A．Its US correspondent bank prefers to make the payment.

B．It will send dollar in cash by airmail.

C．It has a dollar account with another bank in an American city where the beneficiary lives.

D．Its customer has a dollar account with it.

klet, but first it is useful to consider the mechanics of international transactions. To enable a UK importer to pay his American supplier, for example, the facilities of two or more banks are used, firstly in handling the often complex documentation and secondly, through the foreign exchange market, in obtaining the currency required. At one time payments to and from other countries were made by bills of exchange; hence in part the term "exchange rate", which was maintained even though other methods of payment have largely superseded the bill of exchange. The British importer will probably need to pay his American supplier in dollars and his British bank can offer him several alternative methods of settlement. It can provide him with a banker's draft drawn in dollars. The bank is able to do this because it will have an account with another bank (called a correspondent bank) in an American city and it simply issues a dollar cheque or draft drawn on that account. The British importer can then send this draft by airmail to the supplier.

Since there is a danger that the draft may be lost or fall into the wrong hands' the safer and more normal method would be for the British bank to arrange for payment by mail transfer. Instructions are sent by airmail to the correspondent bank in the US to pay on behalf of its customer the required sum to the named recipient from the British bank's dollar account. This mail transfer system is very flexible since the instructions for payment can be varied or elaborated to suit practically every kind of requirement.

How many methods of settlement are mentioned in this passage when the British importer needs dollar to pay his Americans supplier？

A．Two.

B．Three.

C．One.

D．Several.

.

W: Then we shall try to find another bank to have our letter or credit advised.

Q: What do we learn from the conversation？

(18)

A．Standard Chartered Bank, London is one of our correspondent banks.

B．We can advise this L/C through Standard Chartered Bank, London.

C．We will send the advice of the L/C directly to the beneficiary.

D．Ａnother bank will be chosen as the advising bank of this L/Ｃ.

If a term draft is not honoured at maturity, it will be protested by______.

A．a broker

B．a dealer

C．a correspondent bank

D．a notary public