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2009. M56 WARNING This question paper MUST be returned with your answer book at the end of the examination, otherwise marks will be lost. Write your Examination Number here: Commission Na Scrduithe
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How to fill out LC ordinary business:

01
Start by gathering all necessary documentation, including the LC application form, business documents, and any supporting materials required by the issuing bank.
02
Fill in the LC application form accurately, providing all required information such as buyer and seller details, LC amount, payment terms, and shipment details.
03
Make sure to specify the required documents for presentation by the beneficiary, such as commercial invoice, packing list, bill of lading, and insurance documents.
04
Ensure that the LC terms and conditions align with the trade agreement between the buyer and seller, including the expiry date, validity period, and any specific requirements.
05
Submit the completed LC application along with the supporting documents to the issuing bank. They will review the application and, if everything is in order, issue the LC to the beneficiary.

Who needs LC ordinary business?

01
Importers: Importers who purchase goods from international sellers can benefit from an LC ordinary business as it provides a secure payment method and financial protection.
02
Exporters: Exporters who want to ensure that their payment will be guaranteed upon meeting the terms and conditions of the LC can request an LC ordinary business from the buyer.
03
Banks: Banks act as intermediaries in the LC process, issuing the LC on behalf of the buyer and securing the payment for the seller. Therefore, banks play a crucial role in facilitating LC ordinary business transactions.
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LC ordinary business refers to regular business transactions that a company engages in as part of its normal operations, such as purchasing supplies, selling products, or hiring employees.
Any company or business entity that engages in regular business transactions is required to file LC ordinary business.
To fill out LC ordinary business, companies need to provide detailed information about their regular business activities, including income, expenses, and assets.
The purpose of LC ordinary business is to provide transparency and accountability regarding a company's regular business operations.
Companies must report details of their income, expenses, assets, and liabilities on LC ordinary business.
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