TOPIC 3 - INCOTERMS (QUIZ)

1. An invoice was issued to an importer in Iloilo City importing cases of wines from Moscow, Russia. The ocean freight charges indicated prepaid in the bill of lading. However, the buyer did NOT required his seller to include in the invoice the import duties and taxes at the Port of Iloilo EXCEPT the transportation of the wines to his warehouse in Catbalogan ready for unloading. What INCOTERM was used by the seller?

• a) DAP, Catbalogan

• b) DPU, Catbalogan

• c) DDP, Catbalogan

• d) CFR, Iloilo

2. A seller in Talisay City, Cebu was instructed by his buyer in Paris, France to handover the goods to a freight forwarder in Mandaue City, Cebu. Furthermore, the seller’s quotation includes pre-carriage charges and origin internal insurance from Talisay to Mandaue while the buyer will secure the main carriage and marine insurance. What INCOTERM was used by the seller?

• a) CIP, Paris

• b) FCA, Mandaue

• c) FCA, Talisay

• d) CIF, Paris

3. A shipment of 10 x 20’ containers containing frozen meat was delivered by seller on board the MV Kawasaki at Port of Kyoto in Japan. The buyer in Cebu instructed seller to include the origin inland freight and internal insurance charges while the buyer will handle the main carriage and marine insurance cost. What INCOTERM was used by the seller?

• a) CIF, Cebu

• b) CIF, Kyoto

• c) FOB, Kyoto

• d) CFR, Cebu

4. A shipment of 10 barrels containing chemicals were delivered by the seller to the lighter at the Port of Xiamen, China. The buyer in Cebu will handle the hauling of goods on board the vessel, ocean freight charges and marine insurance cost. What INCOTERM was used by the seller?

• a) CIF, Cebu

• b) CIP, Cebu

• c) FOB, Xiamen

• d) FAS, Xiamen

5. A shipment of 10 crates containing mangoes were delivered by the seller on board the vessel at the Port of Cebu. The buyer in Jakarta wants the goods shipped out in such a way that he will no longer pay the ocean freight charges upon arrival at the Port of Jakarta. What INCOTERM was used by the seller?

• a) CFR, Jakarta

• b) CPT, Jakarta

• c) FOB, Cebu

• d) CFR, Cebu

6. A seller in China was required by his buyer in Manila to load the goods on board the vessel at the Port of Shanghai. The bill of lading indicated freight prepaid by the seller and marine insurance was also secured by the seller. What INCOTERM was being referred to?

• a) CIP, Manila

• b) CIF, Manila

• c) CIF, Shanghai

• d) CIP, Shanghai

7. A seller in Korea was required by his buyer in Davao to handover the goods to OPPA Freight Forwarder Intl. in Seoul, Korea. The buyer instructs the seller to include in the invoice the air freight charges from Korea to Philippines. The buyer will secure the port-to-port insurance. What INCOTERM was being referred to?

• a) CIP, Davao

• b) FCA, Seoul

• c) CPT, Davao

• d) CFR, Seoul

8. A seller in Manila was required by his buyer in Osaka, Japan to deliver the goods to the latter’s warehouse in Nagoya, Japan. The seller’s quotation includes main carriage, origin inland freight and internal insurance cleared for export, destination LCL charges, destination inland freight and internal insurance and destination unloading charges. The buyer will pay the import documentation and import duties and taxes. What INCOTERM was being referred to?

• a) DDP, Osaka

• b) DDP, Nagoya

• c) DAP, Osaka

• d) DPU, Nagoya

9. A seller in Cebu was required by his buyer in Bangkok, Thailand to make the goods available in the former’s warehouse in Mandaue City available for pick-up. The buyer hired the services of a carrier to pick up the goods at the former’s warehouse and pay for ocean freight and marine insurance costs. What INCOTERM was being referred to?

• a) EXW, Mandaue

• b) EXW, Cebu

• c) CIF, Bangkok

• d) CIF, Cebu

10. A seller in Davao was instructed by the buyer in Los Angeles, USA to deliver the goods to the quay at Port of Davao. The seller’s quotation includes origin inland freight and internal insurance, export documentation and export duties and taxes. However, the buyer paid the origin THC charges for loading the goods on board the vessel. What INCOTERM was being referred to?

• a) FAS, Davao

• b) FOB, Davao

• c) FCA, Davao

• d) FOB, Los Angeles