Which of the following statements about standby letters of credit is true?______.
A.
They can serve as a guarantee to a buyer against a seller defaulting.
B.
They are contrary to the general rule that letters of credit may only be used for the actual movement of goods.
C.
They are unlike a tender (or other) bond in their legal standing and method of operation.
D.
They are unlike a tender bond with its fixed expiry date.