Task 1

You will hear an exporter talking about basic methods to receive payment for products sold abroad. Rank the following methods of payment in order from most secure for the exporter to least secure. Then listen and check your answer.

a. letter of credit

b. document against presetation

c. cash in advance

d. other payment mechanisms, such as "on consignment"

e. payment through a bank account

Rank the method of payment:                                           

Task 2

Listening to the passage about letters of credit and choose the correct answer to each question.

Task 3

Listen to a paragraph about other methods of payment and fill in the blanks.

Payment can also be made by(1)          through banks under the terms of (2)           (D/P) or (3)           (D/A). Payment by collection spares the (4)           and the complicated (5)           of using a letter of credit. However, there is obviously a risk involved, for (6)           will be made after shipping. In the case of D/P or D/A terms, the opening bank will only do the servise of (7)           and remitting, and will not take any liability for (8)           of the importer.