It is difficult to obtain reliable information concerning the financial position and business standing of the foreign traders. Therefore, ____ risk is high.

political

No worries! We‘ve got your back. Try BYJU‘S free classes today!

insurance

No worries! We‘ve got your back. Try BYJU‘S free classes today!

credit

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

all of the above

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is C credit
Lenders, investors, and vendors often require a Certificate of Good Standing before doing business with any company.A Certificate of Good Standing is a document provided by a state's business entity filing office (often called the Secretary of State) where you formed your company (the formation state).

Suggest Corrections

Similar questions

Q. Assertion :Accounting information refers to only events which are concerned with business firm. Reason: Accounting information is presented in financial statements.

______ is prepared to ascertain the financial result of a business operation over a given period of time and ______ shows the financial position of a business at a particular date.

Q. _________ is mainly concerned with recording of financial data relating to the business operations in a significant and orderly manner.

'The overall financial health of a business is determined by the quality of its financial management'. In light of the above statement, discuss some of the aspects which affect the financial health of a business.

Due to ___ sole traders do not intend to take risk for the survival and growth of the business.

Join BYJU'S Learning Program