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Differentiate between the follow 1 Sight and usance draft2 Bill of lading and air way bad3 Pre- Shipment and post-shipment finance |
| Answer» PLEASE make me brain list Explanation:Difference between sight and usance draft :Sight Draft :1. It is document against sight.2. Here, the documents are handed over to importer only against payment.3. Payments is made immediately by the importer.Usance Draft ;1. It is document against acceptance.2. Here, the documents are delivered to the importer against his acceptance of the bill of exchange for making payment at end of a specified period say three months.3.The importer accepts the bill of exchange for making payment on maturity of the bill of exchange.b.Difference between bill of LADING and airway bill :Bill of lading : It is document GIVEN by shipping company.Airway Bill : It is a document given by airline company.c. Difference between pre-SHIPMENT and post-shipment finance :Pre -shipment finance type : This type of finance is needed by exporter to purchase raw-materials and other related items to make the GOODS exportable.Post-shipment finance : Importer makes arrangements in advance to pay to the exporter on arrival of goods at the port. This is known as post shipment finance. | |