Question

To cater to the growing demand for luxury automobiles, Italy agrees to buy 5,000 cars from Comfort Cars Inc. in exchange for 5,000 barrels of oil. Since Comfort Cars Inc. is not seen as creditworthy, Italy decides to make this a one-time-only deal. What form of countertrade is Italy using

Answer 1

Answer: barter

Step-by-step explanation:

Barter is an exchange system whereby money isn't used as the medium of exchange but rather, there's a direct exchange of goods or services.

From the question, we are given the information that Italy agrees to buy 5,000 cars from Comfort Cars Inc. in exchange for 5,000 barrels of oil. This shows that a barter system took place.