ch12 exercises.docx
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ch12 exercises.docx
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ch12exercises
Chapter2Name,Quality,QuantityandPackageofCommodity
.Pleasebrieflydefineorexplainthefollowingterms.
1.FAQ
2.Shippingmarks
II.Decidewhetherthefollowingstatementsaretrueorfalsebywriting"T"fortrueand"F"forfalseinthebracketbesideeachstatement.
1()Qualityofgoodsreferstotheintrinsicqualityandoutsideformorshapeofgoods.
2()Samplesareofferedbythesellers.
3.()Whensaleismadebycountersample,thegoodsdeliveredbytheseller,maysometimesnotbeinconformitywiththebuyer'ssampleandthusthebuyermayrefusetoacceptthegoods.
4()Intermsofsystemsofweightandmeasures,ChinaadoptsUSsystemduetoitsbeingwidelyappliedintheinternationaltrade
5()Metricunitsareusedtoshowthequantityofcommodityininternationaltrade,andtheyonlyincludemetricunitofweight,length,area,volumeandcapacity.
6.()“Grossfornet”isoftenstipulatedinthecontracttoindicatetheweightofthelessvaluedproductsiscalculatedbygrossweight.
7()Themoreorlessclauseisaclausethatstipulatesthatthequantitydeliveredcanbemoreorlesswithincertainextent(range).
8.()Countersamplecanhelpavoiddisputesoverthequalityofgoodsinthefuturetransaction.
9.()Qualitytolerancewillbestipulatedinthecontracttoindicatethatsolongasbothpartiesagree,qualitydifferencecanbetolerated.
III.ChoosethebestanswerfromA,B,CandD.
1.Inforeigntrade,_____isoftenusedinconsignment,auctionandexhibition.Itadaptstothebusinessinfreshgoods,antique,handcraftandcalligraphyandpainting.
A.QualityasperSeller'sSampleB.SalebyActualQuality
C.SalebySampleD.SalebyStandard.
2.Someproductslikemachinery,instruments,equipmentsandtransportationtoolsarecomplicatedinstructure,thus___isapplicable
A.SalebyTradeMark
B.SalebyBrand
C.SalebyDescriptionandillustration
D.SalebySpecification
3.Themoreorlessclauseisaclausethatstipulatesthatthe_deliveredcanbemoreorlesswithincertainextentorrange.
A.quantityB.qualityC.packagingD.sample
4.TheMarkofTransportPackagingrefersto_
A.WarningMarksB.IndicativeMarks
C.ShippingMarksD.aboveall
5.Amongthecalculatingmethod,____issuitabletothosecargoes,whichareofhigheconomicvalueandwithunsteadymoisturecontent,suchaswool,rawsilk,etc.
A.ConditionedWeightB.TheoreticalWeight
C.LegalWeightD.NetWeight
IV.Multiplechoice.
1.Amongthemethodsofstipulatingqualityofcommodity,samplesaredescribedassalesby___
A.actualqualityB.seller’ssample
C.buyer'ssampleD.countersample
2.Stipulatingqualitybydescriptionrefersthatthequalityofthegoodsisexpressedbywords,dataandpainting,etc.,suchas__.
A.SalebyStandardB.SalebySpecification
C.SalebyGradeD.SalebyBrandandTradeMark
3.Lengthismostlyusedfortextileproducts,metalcords,electricwiresandsoon,suchas__.
A.ftB.grC.1bD.yd
4.Numberisconstantlyusedformeasurementofindustrialproductsandgeneralproductssuchasready-madeclothes,stationary,paper,toysandsoon,suchas___.
A.grB.rmC.pcD.oz
5.Ininternationaltrade,packagingrefersto___.
A.transportpackagingB.outerpackaging
C.salespackagingD.innerpackaging
6.NeutralPackagingmeansthatthereis_____.
A,neithershippingmarksnorindicatingmarks
B.neithernameoftheoriginnornameofthemanufacturer
C.neitherthemarkoftransportpackagingnorwarningmarks
D.neithertrademarknorbrand
7.Theshippingmarksconsistsof____.
A.nameorcodeofdestination
B.warningmarksandindicatingmarks
C.codeofconsigneeorconsignor
D.piecenumber,serialnumber,contractnumberorlicensenumber
.Casestudy.
AnexportcompanyinChinaconcludedadealonediblecitricacid.Whiledeliveringthegoods,theymistookinediblecitricacidfortheediblekind.Notuntilseveraldaysafterthevessel'sdeparturedidtheydiscoverthemistake.Bynow,therelevantdocumentshadalreadybeensentbythenegotiatingbank.Pleaseanalyzethedamagecausedbyseriousqualitymistake.Whatlessonshouldbetaken?
Chapter3TradeTerms
I.ChoosethebestanswerfromA,B,CandD.
1.IntheIncoterms2010,therearealltogether___tradeterms.
A.10B.11C.12D.13
2.Undertheterms____,thefreightaswellastheriskoflossordamagetothegoodsistransferredfromthesellertothebuyerwhenthegoodsdeliveredonboardthevesselintheportofshipment.
A.FOBB.CFRC.CIFD.DDP
3.UnderFOBlinerterms,____isresponsiblefortheloadingexpenses.
A.thesellerB.thebuyerC.theshipperD.theagent
4.The____termrepresentstheminimumobligationforthebuyer.
A.EXWB.FOBC.FCAD.DDP
5.The____termrepresentstheminimumobligationfortheseller.
A.EXWB.FASC.FCAD.DDP
II.DecidewhetherthefollowingstatementsareTrueorFalse.Thenput"T"forTrueand"F"forFalseinthebracketsbesideeachstatement.
1()CFRisthetermwhentheconsignmentisdeliveredwithallthechargesuptoarriveattheportofdestinationpaidbytheseller.
2()CPTisthemostappropriatetermwhenthesellermustpaythecostandfreightnecessarytobringthegoodstothenamedportofdestinationbyaroll-on/roll-offvessel.
3()Whenthesellerpaysforthegoodstotheplacealongsidethevesselonthequayorinlighteratthenamedportofshipment,thetermisFOB.
4()UnderFCAterm,thesellerhasnoobligationtocontractforcarriage.
5()UnderEX-Workstermtheexporterbearstheleastrisksinvolvedintheshipmentofcargoesexported.
6()UnderCFR,thesellermustpaytheusualfreightrateandanyadditionalcoststhatariseenroute.
7.()Iftheselleragreestodeliverthegoodstoaship,butnottopayforloadingthem,thenthetermisFOB.
8.()UnderthetermsFOB,CIFandCFR,theriskoflossofordamagetothegoods,aswellasanyadditionalcostsduetoeventsoccurringafterthetimethegoodshavebeendeliveredonboardthevessel,istransferredfromthesellertothebuyerwhenthegoodspasstheship'srailintheportofshipment.
III.Pleasebrieflydefineorexplainthefollowingterms.
1.Incoterms
2.Exworks
3.Freightrate
4.Carrier
5.Transportationterminal
6.FOB
7.CIP
IV.Completethefollowingdiagramaccordingtowhatyouhavereadinthetext.
INCOTERMS2010
CategoriesofTerms
NameofSpecificTerms
GroupE
ExWorks(______)
GroupF
1.freeCarrier(_______)
2.____(FAS)
3.FreeOnBoard(______)
GroupC
1.CostandFreight()
2._______________()
3.carriagepaidto(____)
4._______________()
GroupD
1.(DAP)
2.__________(DAT)
3.DeliveredDutyPaid(DDP)
V.Answerthefollowingquestionsaccordingtothetext
1.Whataretheobligationsofthesellerunderthefollowingterms:
FAS,FOBandCIF?
VII.TranslatethefollowingintoChinese.
Freightratefluctuatesduetothechangeinsupplyanddemand.Exportersandimportersshouldfirstlookatthedirectionofthefluctuationandthendecideiftheywanttoberesponsibleforcarriage.Anexportermightwanttoavoidthetermsthatincludetransportcostwhenthefreightisincreasingandifitishardtopredicttherateoftheincrease.Whentheincreasecanbeestimatedandaddedtotheprice,itispossiblethatthepricedoesnotlookascompetitiveasthepricewithouttransportcost,especiallywhentheoffereedifferswiththeofferoraboutthefreightchanges.Animportermightwanttocomparetermswithandwithouttransportandthencomparethecostoftransportinthepriceofferedbytheexporterandtheshippingcosttheimportermustpayelsewheresothatheknows
Whetherheshouldusetheexporter'sshippingserviceorcontractforshipmentwithanothercarrier.
VIII.Readthefollowingpassageandanswerthequestionsfollowed.
InternationalTransferofMoney
Amajorfunctionofanybankingsystemisofcoursethetransferofmoneyfromonecountrytoanother.Sometimesthetransferrequestedbyacustomerisinfavorofabeneficiarywhobankswiththesamebank,inwhichcasetheprocedureissimple:
onecustomerisdebitedandtheothercredited.Sometimestherehastobeatransferofmoneytoanotherbank,asthebeneficiaryhashisaccountelsewhere.Internally,withintheUK,themethodsoftransferusuallyusedarechequeorcredittransfer,withinter-banksettlementeffectedthroughtheclearinghouses.
Thevastmajorityofallinternationalpaymentsarealsomadethroughthebankingsystem,althoughthesettlementasaruleisnotmadeacrossaclearinghouse.Instead,ifaUKbank,forexample,wantedabankabroadtopaymoneytoabeneficiary,onitscustomer'sbehalf,theUKbankwouldarrangetocredittheaccountoftheforeignbankinLondonorgiveinstructionsforforeignbanktoenabletheforeignbanktoobtainreimbursementtothedebitofaforeigncurrencyaccountoftheUKbankmaintainedbyabankabroad.Theseinstructionsmaybeconveyedbymailorcabledpaymentordersbetweenthebanks,orbymeansofbanker'sdraftsorinternationalpaymentorders.
Apartfromnotes,andtoalesserextentcoin,usedtosatisfytravelrequirements,nolargesumsofmoneyintheformofcasharenormallymovedphysicallyacrossfrontiers.AlthoughthereisnothingtopreventanyonecarryingsuitcasesfullofnotesorcoininoroutofUK,certainothercountrieshaveexchangecontrolregulationstopreventthis.Inanyevent,itisnotaparticularlysafeorsensiblethingtodo.Whatdoesmovefromonecountrytoanotherisaninstructionfromonebankto"passentries"(creditoneaccountanddebitanother)senttoacorrespondentbankabroadso
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