Which of the following is a disadvantage of barter as a countertrade a

QUESTION

Which of the following is a disadvantage of barter as a countertrade arrangement?

A. It is a very complex arrangement.

B. In a barter system, if goods are exchanged simultaneously, one party ends up financing the other.

C. Firms engaged in barter run the risk of having to accept goods they do not want or cannot use.

D. It involves huge cash transactions.

E. It cannot be used in transactions with trading partners who are not creditworthy.

ANSWER

C