1.  Both the U.S. Department of Commerce and the Arizona Department of Commerce are possible sources of help on marketing our products to foreign customers.  (T) (F)

 

2.  In order to open a letter of credit, it is always the seller who opens the letter of credit with the bank in his country.   (T) (F)

 

3.      We would expect to need a U.S. government license to export even paper clips

to some countries. (T) (F)

 

4.  Statistical materials, in addition to export trade leads, are available in the National Trade Data Bank.  (T) (F)

 

5.  A possible term of sale is CFR, which enables us to sell to a foreign country without any risk. (T) (F)

 

6.  FOB is a term of payment which requires use of a letter of credit. (T) (F)

 

7.  A time draft is always paid by the importer on the day he actually receives the goods. (T) (F)

 

8.  An irrevocable letter of credit can be amended. (T) (F)

 

9.  Open Account is an ideal method of payment for the importer.  (T) (F)

 

10. A letter of credit can require a truck bill of lading.  (T) (F)

 

11. If our overseas customer requires a certificate of origin, it may require processing through his country's consulate in the U.S. (T) (F)

 

12. An airwaybill can be issued to order so that the holder of the document is entitled to the custody of the goods.  (T) (F)

 

13. Licensing requirements for U.S. exports have been eliminated. (T) (F)

 

14. An export license may be required for export of weapons or ammunition from the United States. (T) (F)

 

15. Postal shipments may be made on a "to order" basis so that we can obtain a return of the goods if we are not paid. (T) (F)

 

16. Publication 500 is the current publication addressing letters of credit. (T) (F)

 

17. Under NAFTA, all exports from the United States to Canada or Mexico, or imports to the United States from Canada or Mexico, are now duty-free.  (T) (F)

 

18. An exporter of U.S.-manufactured goods, manufactured by another party and shipped to Canada or Mexico must disclose the manufacturer (the "producer") on the NAFTA Certificate of Origin. (T) (F)

 

19. Shipments by ocean freight may be rated by the "cube" of the shipment (space it takes up) or by weight of the shipment. (T) (F)

 

20. Information on applying for export licenses is available from the U.S. Department of Transportation. (T) (F)

 

21. All original bills of lading are yellow in color. (T) (F)

 

22. An Export Declaration is required for some shipments based upon the value of the merchandise. (T) (F)

 

23. NAFTA is the only free trade agreement to which the United States is a signatory.

(T) (F)

 

24. Documentary credits and documentary collections operate identically. (T) (F)

 

25. It is possible to ship under an export letter of credit via Postal Service.  (T) (F)

 

END

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1.  The U.S. Department of Commerce has programs available to assist exporters, including catalog trade shows.  (T) (F)

 

2.  In order to use a bank's international banking services, our company checking account must be with that bank.    (T) (F)

 

3.      We would expect to need a U.S. government license to export  firearms. (T) (F)

 

4.  Statistical materials, in addition to export trade leads, are available in the National Trade Data Bank.  (T) (F)

 

5.  A possible term of sale is CFR, which enables us to ship without risk of loss. (T) (F)

 

6.  CIF is a term of payment which requires use of a letter of credit. (T) (F)

 

7.  A sight draft is always paid by the importer on the day he actually receives the goods. (T) (F)

 

8.  An irrevocable letter of credit can be amended. (T) (F)

 

9.  Open Account is an ideal method of payment for the importer.  (T) (F)

 

10. A letter of credit can require an airwaybill.  (T) (F)

 

11. If our overseas customer requires legalization of documents, application would normally be made through his country's consulate in the U.S. (T) (F)

 

12. For an air freight shipment, a negotiable bill of lading (title to the documents) is always issued.  (T) (F)

 

13. Licensing requirements for U.S. exports have been eliminated. (T) (F)

 

14. An export license may be required for export of electronic equipment from the United States. (T) (F)

 

15. An ocean bill of lading can be set up to constitute title to the goods. (T) (F)

 

16. Publication 500 is the current publication addressing letters of credit. (T) (F) (Now Publication 600, which should be addressed in-class. It is listed in the updates on the Export-Import Home Page. The next edition will reflect Publication 600.) 

 

17. Under NAFTA, all exports from the United States to Canada or Mexico are now automatically duty-free.  (T) (F)

 

18. On an Ex Works shipment, the buyer is expected to be responsible for both

export clearance from the exporting country and import clearance in the importing country.

(T) (F)

 

19. Shipments by ocean freight may be rated by the "cube" of the shipment (space it takes up) or by weight of the shipment. (T) (F)

 

20. Information on applying for export licenses is available from the U.S. Department of Commerce. (T) (F)

 

21. All original bills of lading are yellow in color. (T) (F)

 

22. When an Export Declaration is required, the exporter can pass the responsibility for it to the freight forwarder. (T) (F)

 

23. A Free Trade Agreement is in effect between the United States and Israel.  (T) (F)

 

24. Letters of Credit are always opened and advised through one and the same bank.

(T) (F)

 

25. It is possible to ship under an export letter of credit via Postal Service.  (T) (F)

  END