Question 24
Wholesale TradeA del credere agent is distinguished from other agents in that he
- A.is a partner in a trading firm
- B.works for his principal on commission basis
- C.is a middleman in a transaction involving two or more people
- D.usually guarantees payment in any transaction
- E.is a dealer on the stock exchange
Show the answer and explanation
Answer: D (usually guarantees payment in any transaction)
Explanation
For an extra commission, a del credere agent guarantees that the buyers he finds will pay.