a. Describe how foreign trade would be affected if banks did not provide trade-related services.
b. How can a banker’s acceptance be beneﬁcial to an exporter, an importer, and a bank?
2. Export Financing.
a. Why would an exporter provide ﬁnancing for an importer?
b. Is there much risk in this activity? Explain.
3. Role of Factors. What is the role of a factor in in- ternational trade transactions?