Question Details

Working Capital Guarantee Program 


1. Impact of September 11. Every quarter, Bronx Co. ships computer chips to a firm in central Asia.
It had not used any trade financing because the importing firm always pays its bill in a timely
manner upon receipt of the computer chips. After the September 11, 2001 terrorist attack on the
U.S., it reconsidered whether it should use some form of trade financing that would ensure that it
would be paid for its exports upon delivery. Offer a suggestion to Bronx Co. on how it could
achieve its goal.
2. Working Capital Guarantee Program . Briefly describe the Working Capital Guarantee Program
administered by the Export-Import Bank.



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