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WorksheetsMETHODS OF VALUATION
Total questions: 39
Worksheet time: 35mins
IN USING THE METHOD ONE (TRANSACTION VALUE), THE FOLLOWING ARE PRE-CONDITIONS THAT NEEDS TO MEET, EXCEPT
THERE ARE NO RESTRICTION AS TO THE DISPOSITION OR CONSIDERATION OF GOODS
THE SALE OR PRICE IS NOT SUBJECT TO SOME CONDTION OR CONSIDERATION
THE BUYER AND THE SELLER ARE NOT RELATED
THERE ARE SUBSEQUENT PAYMENT
WHICH OF THE FOLLOWING DOES NOT BELONG TO "NO SALE SITUATIONS" UNDER METHOD ONE?
GIFTS
BRANCH OFFICE TRANSFER
LEASED GOODS
NONE OF THE CHOICES
WHICH ONE IS THE EXEMPTION IN THE RULES UNDER NO RESTRICTION ON THE DISPOSITION OR USE OF THE GOODS IN METHOD ONE?
REGULATORY PERMITS AND CLEARANCES REQUIRED BY THE LAW
LIMITED TO THE GEOGRAPHIC AREA IN WHICH THE GOODS MAY BE STORED
MUST BE SUBSTANTIALLY AFFECT THE VALUE OF THE GOODS
ALL OF THE ABOVE ARE EXEMPTIONS
BELOW ARE EXAMPLES OF GOODS FOR SALE AND NOT SUBJECT TO ADDITIONAL CONDITIONS, EXCEPT
THE SELLER ESTABLISHED THE PRICE OF THE IMPORTED GOODS THAT THE BUYER WILL ALSO BUY OTHER GOODS IN SPECIFIED QUANTITIES
PACKAGE DEALS
SPLIT SHIPMENTS
THE PRICE IS ESTABLISHED ON THE BASIS OF A FORM OF PAYMENT RELATED TO THE IMPORTED GOODS
THE BUYER AND THE SELLER ARE DEEMED RELATED IF?
THE SELLER IS A SECOND COUSIN OF THE BUYER
THEY ARE EMPLOYER AND EMPLOYEE
BOTH OF THEM DIRECTLY OR INDIRECTLY CONTROLS THE OTHER
ONE OF THEM ARE DIRECTLY OR INDIRECTLY CONTROLLED BY A THIRD PERSON
ANY PERSON DIRECTLY OR INDIRECTLY OWNS, CONTROLS OR HOLDS HOW MANY PERCENT OF THE OUTSTANDING VOTING STOCK OR SHARES OF BOTH THE BUYER AND SEELER FOR THEM TO TO BE DEEMED RELATED?
5%
4%
3%
2%
UNDER WHAT CIRCUMSTANCES SHALL PREVENT THE USE OF TRANSACTION VALUE UNDER METHOD ONE IN WHICH IT CANNOT BE USED TO DETERMINE THE CUSTOMS VALUE?
THERE IS NO EVIDENCE OF AN IMPORT SALES TRANSACTION
THE SALE INVOLVES A CONSIDERATION FOR WHICH A VALUE CANNOT BE ASCERTAINED
THERE ARE RESTRICTS TO THE DISPOSITION OR USE OF THE IMPORTED GOODS
THE VENDOR AND PURCHASER ARE RELATED PARTIES
DOES THE EXISTENCE OF A RELATION BETWEEN THE BUYER AND THE SELLER GIVE CUSTOMS THE RIGHT TO REJECT OURIGHT THE TRANSACTION VALUE?
NO
YES
YES, AS IT MAY DEEMED TO HAVE DISTORTED THE PRICE AGREED UPON THE BUYER AND THE SELLER
NO, AS LONG AS THEIR RELATIONSHIP DOES NOT INFLUENCE THE PRICE AGREED.
HOW IS TRANSACTION VALUE DIFFERENT FROM THE PREVIOUS "EXPORT VALUE" SYSTEM?
TRANSACTION VALUE IS BASED ON THE ACTUAL TRANSACTION BETWEEN THE BUYER AND SELLER. WHILE THE EXPORT VALUE IS BASED ON THEORETICAL VALUATION.
EXPORT VALUE IS BASED ON THE ACTUAL TRANSACTION BETWEEN THE BUYER AND SELLER. WHILE THE TRANSACTION VALUE IS BASED ON NOTIONAL VALUATION.
THERE IS NO DESTINCTION BETWEEN THE TWO AS BOTH ARE TRANSACTION BETWEEN BUY AND SELLER
TRANSACTION VALUE USES IN ANY ORDER OF PREFERENCE VALUES OF PAST OR PARALLER TRANSACTIONS WHILE EXPORT VALUE THE VALUES OF THE PAST CAN NO LONGER BE USE AS A SSUBSTITUTE VALUE
IF A SHIPMENT WHOSE VALUATION ISSUE IS NOT YET FINAL, WILL THE BUREAU OF CUSTOMS IMMEDIATELY RELEASE THE GOODS?
NO, AS IT SHALL BE WITHHELD BY CUSTOMS UNTIL RESOLVE
YES, UPON PAYING THE CORRECT DUTIES AND TAXES
YES, UPON POSTING SECURITY AND THE MATTER IS RESOLVE IN A FORMAL DISPUTE SETTLEMETN
YES, UPON THE APPROVAL OF THE DISTRICT COLLECTOR
IT IS A PROCEDURE APPLIED TO DETERMINE THE DUTIABLE VALUE OF IMPORTED GOODS.
TRANSACTION VALUE
CUSTOMS VALUATION
EXPORT VALUATION
VALUATION AGREEMENT
WHAT DO YOU CALL THE VALUE OF IMPORTED MECHANDISE FOR THE PURPOSE OF ASSESSING CUSTOMS DUTIES AND TAXES TO BE PAID ON SUCH MERCHANDISE.
TRANSACTION VALUE
CUSTOMS VALUE
DUTIABLE VALUE
EXPORT VALUE
DETERMINE THE CORRECT SEQUENCE IN DETERMINING THE CUSTOMS VALUE IF METHOD ONE-TRANSACTION VALUE IS NOT APPLICABLE
SIMILAR GOODS, IDENTICAL GOODS, COMPUTED VALUE, DEDUCTIVE VALUE, FALLBACK VALUE
IDENTICAL GOODS, SIMILAR GOODS, COMPUTED VALUE, DEDUCTIVE VALUE, FALLBACK VALUE
SIMILAR GOODS, IDENTICAL GOODS, DEDUCTIVE VALUE, COMPUTED VALUE, FALLBACK VALUE
IDENTICAL GOODS, SIMILAR GOODS, DEDUCTIVE VALUE, COMPUTED VALUE, FALLBACK VALUE
THE SEQUENTIAL ORDER ALLOWS VARIATION IN DETERMINING THE CUSTOMS VALUE OF THE GOODS. UPON IMPORTER'S REQUEST, METHOD 5 CAN BE APPLIED BEFORE METHOD 4. UNDER WHAT CICUMSTANCES SHALL IT BE POSSIBLE?
IF THE GOODS ARE UNDER THE GREEN LANE OR AEO
UPON THE APPROVAL OF THE DISTRICT COLLECTOR
UPON THE APPROVAL OF THE COMMISSIONER
IF IT INVOLVES GOODS WHICH ARE NEW TO MARKET
WHICH OF THE FOLLOWING ADJUSTMENTS SHOULD NOT BE ADDED TO THE PRICE TO CONSTITUTE THE TRANSACTION VALUE?
BUYING COMMISSION
ASSISTS
ROYALTY
TRANSPORTATION AND INSURANCE COST
THESE ARE FEES NORMALLY PAID TO AN AGENT OR A PERSON FOR THE ACCOUNT OF A PRINCIAL IN WHICH HE/SHE PARTICIPATES IN THE CONDUCTION OF A CONTACT OR SALE, REPRESENTING EITHER THE BUYER OR SELLER.
COMMISSIONS
ROYALTY
ASSISTS
PROCEEDS
IF THE TOTAL PRICE ACTUALLY PAID OR PAYABLE (PAPP) IS $1,000 AND IF THE $100 DOLLAR BUYING COMMISSION WAS ALREADY INCLUDED IN THE PAPP. HOW MUCH SHOULD ACTUALLY BE THE PAPP IF THE THERE IS A ROYALTY OF $50 AS SEPARATELY INVOICED?
$1,000
$1,050
$1,150
$950
IF THE TOTAL PRICE ACTUALLY PAID OR PAYABLE (PAPP) IS $1,000 AND IF THE $100 DOLLAR BUYING COMMISSION WAS ALREADY INCLUDED IN THE PAPP. HOW MUCH SHOULD ACTUALLY BE THE PAPP IF THE THERE IS A ROYALTY OF $50 AS SEPARATELY INVOICED?
$ 1,000
$ 1,050
$ 1,150
$ 950
ASSISTS ARE COMMON IN CERTAIN INDUSTRIES BUT ONLY LIMITED TO THE FOLLOWING TYPE OF ITEMS. IF THE PHILIPPINES IS IMPORTING CERTAIN GOOS FROM NORWAY, WHICH OF THE FOLLOWING ITEMS ARE EXCLUDED?
DESIGN SKETCHES FROM JAPAN
TOOLS USED IN THE PRODUCTION OF IMPORTED GOODS FROM CHINA
MATERIALS INCORPORATED INTO THE IMPORTED GOODS
WOODEN PALLETS ON WHICH CARGO IS OFTEN STACKED
UNDER WHAT CONDITION DOES THE ROYALTY MAY NOT BE QUALIFIED AS ACCEPTED ADJUSTMENT AND SHOULD NOT BE ADDED TO THE PRICE ACTUALLY PAID OR PAYABLE?
IF IT IS NOT ALREADY INCLUDED IN THE PAPP
THE BUYER PAYS THE ROYALTY AS A CONDITION OF THE SALE OF THE IMPORTED GOODS
CHARGES FOR THE RIGHT TO REPRODUCE THE IMPORTED GOODS IN THE COUNTRY OF IMPORTATION
THE ROYALTY MUST BEAR DIRECTLY ON THE GOODS BEING IMPORTED.
THIS METHOD INVOLVES FINDING A SHIPMENT OF SIMILAR GOODS FOR WHICH A TRANSACTION VALUE CAN OR HAS BEEN ALREADY ESTABLISHED.
METHOD 2
METHOD 3
METHOD 4
METHOD 5
A SALE UNDER THE FOLLOWING SITUATIONS SHALL BE CONSIDERED AS CRITERIA IN USING THE METHOD 3, EXCEPT
THE SAME COMMERCIAL LEVEL BUT IN DIFFERENT QUANTITIES
A DIFFERENT COMMERCIAL LEVEL BUT IN SAME QUANTITY
A DIFFERENT COMMERCIAL LEVEL AND IN DIFFERENT QUANTITIES
THE SAME COMMERCIAL LEVEL AND THE SAME IN QUANTITIES
IN USING THE METHOD 3, IF THERE ARE NUMEROUS IMPORTS OF SIMILAR GOODS AT ABOUT THE SAME TIME WHAT WILL BE THE BASIS OF DETERMINING THE VALUE OF THE GOODS?
THE IMPORT CLOSESTS IN TERMS OF TRADE LEVEL
THE IMPORT CLOSESTS IN TERMS OF QUANTITY
THE IMPORT CLOSESTS IN ITS SOURCE
ALL OF THE ABOVE
UNDER TRANSACTION VALUE OF SIMILAR GOODS, IF THERE ARE NO IMPORTATIONS OF SIMILAR GOODS FROM THE SAME PRODUCER, WHAT CAN BE USED AS BASIS IN DETERMINING THE VALUE OF THE GOODS UNDER THIS METHOD?
SIMILAR GOODS PRODUCED BY SOMEONE ELSE
IDENTICAL GOODS PRODUCED BY OTHER MANUFACTURER
SIMILAR GOODS SOLD AT THE LOCAL MARKET
THE CLOSEST GOODS IMPORTED IN TERMS OF TRADE LEVEL
SIMILAR GOODS ARE REFER TO GOODS WHICH ALTHOUGH NOT ALIKE IN ALL RESPECTS BUT MUST HAVE
LIKE CHARACTERS
SIMILAR COMPONENT MATERIALS W/C ENABLE THEM TO PERFORM SAME FUNCTION
COMMERCIALLY INTERCHANGEABLE
ALL OF THE ABOVE
IF THERE ARE MORE THAN 1 TRANSACTION VALUE OF SIMILAR GOODS FOUND, HOW WILL THE BUREAU OF CUSTOMS DETERMINE THE RIGHT VALUE OF THE GOODS?
USE THE GOODS WITH CLOSEST IN TERMS OF QUANTITY
USE THE GOODS WITH THE LOWEST VALUE
USE THE GOODS WITH THE HIGHEST VALUE
USE THE GOODS WITH CLOSEST IN TERMS OF QUALITY
IN ORDER FOR GOODS TO BE CONSIDERED AS COMPARABLE "IDENTICAL GOODS", THE GOODS MUST HAVE THE FOLLOWING CRITERIA, EXCEPT
MUST HAVE ESTABLISHED TRANSACTION VALUE
MUST INVOLVE PHILIPPINE ASSISTS
MUST BE SOLD AT THE SAME LEVEL AND IN SIMILAR QUANTITIES
MUST BE THE SAME IN ALL MATERIAL RESPECT
AN IMPORTATION OF 1 X 20 BATTERY OPERATED ELECTRICFAN HAS ARRIVED AT PORT OF MANILA. SUCH GOODS ARE PRODUCED BY YAMATE KUDASAI ELECTRONIC COMPANY IN JAPAN. THE BUREAU OF CUSTOMS HAS QUESTIONED THE TRUE VALUE OF THE GOODS AND THEY WANT TO COMPARE THE PRICE OF THAT GOODS FROM JAPAN TO THE SAWADEEKA COMPANY BASED IN THAILAND WHO PRODUCES THE SAME BATTERY OPERATED ELECTRICFAN. UNDER METHOD 2, DOES THE GOODS OF THE LATTER BE CONSIDERED AS COMPARABLE IDENTICAL GOODS OF THE FORMER?
YES, AS THEY HAVE THE SAME FUNCTION
NO, AS THEY ARE NOT PRODUCE IN THE SAME COUNTRY
YES, AS THEY ARE IDENTICAL BATTERY OPERATED ELECTRICFAC
NO, AS THE PRODUCT FROM THAILAND MAY CONSIDER SIMILAR
WHICH OF THE FOLLOWING SHALL BE CONSIDERED AS COMPARABLE IDENTICAL GOODS IN DETERMINING THE VALUE OF GOODS IF THE 1 X 20 BATTERY OPERATED ELECTRICFAN FROM JAPAN WILL ARRIVE ON OCTOBER 30, 2024 TO BE USED BY BOC
BATTERY OPERATED ELECTRICFAN FROM LAT KRABANG, THAILAND WHICH IS EXPORTED ON JULY 30, 2024
BATTERY OPERATED ELECTRICFAN FROM SHIBUYA, JAPAN WHICH IS EXPORTED ON JULY 28, 2024
BATTERY OPERATED ELECTRICFAN FROM BEIJING, CHINA, WHICH IS EXPORTED ON AUGUST 30, 2024
BATTERY OPERATED ELECTRICFAN FROM TOKYO, JAPAN WHICH IS EXPORTED ON AUGUST 28, 2024
THIS METHOD IS USED BY WORKING BACKWARD FROM A SALE OF THE IMPORTED GOODS WITHIN THE PHILIPPINES IN THEIR CONDITION AS IMPORTED-DEDUCTING THE COST OF SALES, TAXES, PROFIT AND OTHER EXPENSES.
METHOD 2
METHOS 3
METHOD 4
METHOD 5
WHICH OF THE FOLLOWING SHALL BE USED AS DEDUCTION UNDER METHOD 4
COMMISSION MADE FOR PROFIT
THE USUAL COST OF TRANSPORT INCURRED ABROAD
INSURANCE INCURRED AT THE EXPORTING COUNTRY
CUSTOMS DUTIES AND OTHER TAXES PAID BY THE EXPORTER
THE CUSTOMS VALUE SHALL BE BASED ON THE UNIT PRICE AT WHICH THE IMPORTED GOODS SOLD IN THE PHILIPPINES IN THE CONDITION THEY WERE IMPORTED AND AT THE EARLIEST DATE AFTER THE IMPORTATION OF THE GOODS BEING VALUED BUT
BEFORE THE EXPIRATION OF 120 DAYS AFTER SUCH IMPORTATION
BEFORE THE EXPIRATION OF 90 DAYS AFTER SUCH IMPORTATION
BEFORE THE EXPIRATION OF 60 DAYS AFTER SUCH IMPORTATION
BEFORE THE EXPIRATION OF 45 DAYS AFTER SUCH IMPORTATION
THIS METHOD IS RARELY USED AND RESTRICTED IN SCOPE, IT CAN ONLY APPLY IF THE GOODS TO BE VALUED ARE EXPORTED DIRECTLY BY THE PRODUCER OR MANUFACTURER AND OR THROUGH INTERMEDIARY.
METHOD 2
METHOD 3
METHOD 4
METHOD 5
IF THE IMPORTER ASKS OR IF THE FOODS ARE THE EXPORTERS OWN FOR WHICH THE COLLECTORCAN DETERMINE A COMPUTED VALUE, THIS METHOD CAN BE EMPLOYED AHEAD OF THE DEDUCTIVE VALUE. IN WHAT CIRCUMSTANCES WILL THE DISTRICT COLLECTOR DENY SUCH REQUEST?
IF THE METHOD 4 IS NOT APPLICABLE
IF THE METHOD IS NOT COST EFFECTIVE
IF THE METHOD IS DEEMED DIFFICULT TO PURSUE
IF THE METHOD HAS NOT BEEN APPROVED BY THE COMMISSIONER
IN COMPUTING THE CUSTOMS VALUE USING THE COMPUTED VALUE METHOD, WHICH OF THE FOLLOWING IS NOT PART OF THE COMPUTATION?
PRODUCTION COST IN THE COUNTRY OF EXPORTATION
MATERIALS IN THE COUNTRY OF EXPORTATION
ASSISTS IN THE COUNTRY OF EXPORTATION
FABRICATION IN THE COUNTRY OF EXPORTATION
NO DUTIABLE VALUE SHALL BE DETERMINED UNDER THE METHOD SIX ON THE FOLLOWING BASIS, EXCEPT
THE SELLING PRICE OF THE PHILIPPINES OF THE GOODS PRODUCED IN THE PHILIPPINES
THE PRICE OF THE GOODS IN THE DOMESTIC MARKET IN THE PHILIPPINES
MINIMUM CUSTOMS VALUE
ARBITRARY OF FICTICIOUS VALUES
WHICH OF THE FOLLOWING SITUATIONS ARE NOT APPLICABLE UNDER FALLBACK PROVISIONS.
THE SALE OF THE IDENTICAL GOODS THAT TOOK PLACE 34 DAYS FROM THE DATE OF IMPORTATION
THE SALE OF THE IDENTICAL GOODS TOOK PLACE 5 DAYS BEYOND THE REQUIREMENT FOR METHOD 2
SAMPLE GOODS FREE OF CHARGE BUT NOT SOLD BY THE EXPORTER IN THE IMPORTER
THE SALE PRICE OF GOODS MANUFACTURED IN THE IMPORTING COUNTRY
THE FOLLOWING VALUATION CRITERIA ARE NOT TO BE USED IN METHOD 6, EXCEPT.
THE CUSTOMS VALUE OF GOODS INCREASED TO OFFSET ANY REDUCTION IN THE INTERNATIONALLY NEGOTIATED RATES OF DUTY
A MINIMUM CUSTOMS VALUE
THE PRICE OF GOODS ON THE DOMESTIC MARKET OF THE COUNTRY OF IMPORTATION
THE COST OF PRODUCTION OTHER THAN COMPUTED VALUES WHICH HAVE BEEN DETERMINED FOR IDENTICAL OR SIMILAR GOODS
WHAT TERM IS USED FOR THESE PROHIBITIONS THAT ARE AIMED AT SYSTEMS WHICH DO NOT BASE THEIR VALUES ON WHAT IN FACT HAPPENS IN THE MARKETPLACE AS REFLECTED IN ACTUAL PRICES, SALES AND COSTS.
FRAUD VALUES
DEFECTIVE VALUES
ARBITRARY OR FICTICIOS VALUES
FABRICATED VALUES
