***PLEASE ANSWER ALL QUESTIONS***

Question 11:

when deciding a transport strategy, the cost most often forgotten by the importer is?

A) Cost of goods sold and customs documentation.

B) Cost of goods sold, insurance, freight and customs documentation.

C)Cost of goods sold, insurance, freight-forwarding costs domestically, or

D) An importer does not decide the transport strategy , the exporter has this responsibility.

Question 12 (Mandatory) (1 point)

Steve Renwick of Renman Inc works for a medium sized Canadian firm that manufactures plastic caps and bottles for the soft drink beverage industry. He was comparing the samples of plastic caps sent to him by a similar manufacturer in South Korea. After a lengthy review, he decided to import the caps from South Korea instead of continuing to make them at his own plant. The most likely reason for his decision is:

Question 12 options:

1. It is less risky to import the caps than to make them.

2. He has no other means to fulfill orders

3. It will increase revenue

4. It will reduce costs

Question 13 (Mandatory) (1 point)

Steve Renwick of Renman Inc works for a medium sized Canadian firm that manufactures plastic caps and bottles for the soft drink beverage industry. He has received a quotation from the South Korean exporter. In reviewing the quote, he noticed an INCO term he was unhappy with because it gave him concern. Although it is unlikely that Renwick will be able to negotiate it, he has decided to make a counteroffer changing the INCO term to one that is more acceptable to his firm. The INCO term that he counter-offered is most likely:

Question 13 options:

a) FAS

b) CFR

c) CIF

d) DDU