Multiple choice questions are used in our virtual on-line and classroom training programmes. These can be used effectively for delegate assessment on a pre-course basis to identify knowledge gaps, on completion of a training module, at the end of the programme, or across all stages.
We also use content-based questions with multiple choice answers in classroom quizzes to introduce fun and a competitive element between teams in the context of a learning environment.
Their use is particularly important in virtual on-line training given the more limited behavioural signals available to the trainer. By way of example, the ‘polling’ of carefully selected questions with multiple choice answers is regularly applied in virtual classrooms to check the level of understanding of the delegates as we move through the content.
A sample of 10 questions are shown here. These have been taken from our extensive library of more than 250 multiple choice questions.
Q1 Which of the following are benefits of trade finance?
1) It can enable companies to grow their sales and profitability
2) Structured trade finance can generate greater levels of credit appetite
3) It provides a guarantee of payment
4) A self-liquidating facility obtains primary repayment from the client
5) Provision of information on the importer and exporter
Please select ONE answer from the below
A: 1 only
B: 2 only
C: 1, 2 and 3 only
D: 1 and 2 only
E: 1, 2, 3, 4 and 5 only
Q2 How can a bank control goods which are air freighted?
Please select ONE answer from the below
A: It cannot
B: The air waybill must be consigned to the order of a bank
C: To hold an original air waybill
D: The air waybill must be consigned to a bank or a trusted party
Q3 What are the key features of bank aval?
1) It provides a bank undertaking to make payment on the due date
2) The exporter can obtain finance against the bank aval
3) The exporter needs a credit facility with a forfaiter to sell the avalised debt obligation and receive discounted proceeds early
4) The exporter does not need a credit facility with a forfaiter to sell the avalised debt obligation and receive discounted proceeds early
Please select ONE answer from the below
A: 1 and 2 only
B: 1, 2 and 3 only
C: 2 and 4 only
D: 1, 2 and 4 only
Q4 A letter of credit is an irrevocable unconditional guarantee of payment
Is the above statement true or false?
Please select ONE answer from the below
A: True
B: False
Q5 A company is forecasting the purchase of goods from China over the next 12 months* for a total of USD6m. Letters of credit will be issued each month with a validity of 70 days. Each letter of credit is available only with the issuing bank payable 30 days sight. There is no seasonality. What letter of credit facility does the company require to enable them to make these purchases over the next 12 months?
*Please assume the period of 12 months contains 365 days and purchases are spread evenly throughout the year
Please select ONE answer from the below
A: USD1,183,562
B: USD493,151
C: USD1,643,836
D: USD690,411
E: USD6,000,000
F: USD3,000,000
Q6 UCP rules are a legal obligation
Is the above statement true or false?
Please select ONE answer from the below
A: True
B: False
Q7 If an unconfirmed letter of credit is available by negotiation with a nominated bank and requests drafts to be presented, which party must they be drawn upon?
Please select ONE answer from the below
A: The LC applicant
B: The LC beneficiary
C: The issuing bank
D: The nominated bank
Q8 Does the non-bank issuer of a letter of credit require a credit facility with its bank?
Please select ONE answer from the below
A: NO
B: YES
Q9 How does a bank validate the contents of a claim demand statement presented by the beneficiary under a demand guarantee or standby credit?
Please select ONE answer from the below
A: It has no obligation to validate the claim demand statement
B: It contacts the applicant to check the validity of the beneficiary’s claim demand
Q10 The ideal goods for receivables finance are those that are new to market with high potential demand
Is the above statement true or false?
Please select ONE answer from the below
A: True
B: False
Please email stephen@axstradefinance.co.uk for the correct answers