Draft Chapter 6<\/p>\n
Draft Chapter 6<\/p>\n
Students Name <\/p>\n
Class work INB355 Testing the understanding of a Letter of Credit 45 marks<\/p>\n
** FIN UAK 1:F21BSPLAUS66WAXXX0687086568}<\/p>\n
** {4:{177: Date and Time (YYMMDDHHMM) :170903 0737}<\/p>\n
** {451: acceptance\/rejection: 0}}<\/p>\n
** ———————————————————————————————————————<\/p>\n
** {1: FIN MESSAGE\/Session\/OSN F01 BSPSPABRXXX 0687 086568}<\/p>\n
** {2: Output Message Type 700 issue of a documentary credit<\/p>\n
** Input Time\/MIR 1600 960902BSPUS2766568524<\/p>\n
** Received from BSPSPABR<\/p>\n
** Banco San Paolo<\/p>\n
** Sao Paulo<\/p>\n
** (branch)<\/p>\n
** Output Date\/time 17090310737010 0710<\/p>\n
** Priority\/Delivery\/Obsol. Normal}<\/p>\n
** ——————————————————————————————————————–<\/p>\n
** :27 sequence of total:<\/p>\n
** 1\/1<\/p>\n
** :40A form of documentary credit:<\/p>\n
** IRREVOCABLE <\/p>\n
** :20 documentary credit no.:<\/p>\n
** 1015100009530<\/p>\n
** :31C date if issue:<\/p>\n
** 170902<\/p>\n
** :31D date and place of expiry:<\/p>\n
** 171016 SEATTLE, WA<\/p>\n
** :50 applicant:<\/p>\n
** PRODUTOS ALIMETICIOS LTDA<\/p>\n
** AVE DES CONQUISTADORS<\/p>\n
** SAO PAULO, BRASIL<\/p>\n
** :59 beneficiary:<\/p>\n
** COMMODITIES TRADING CO. INC.<\/p>\n
** 6300 MONTGOMERY ST<\/p>\n
** KALISPELL, MT 00101 USA<\/p>\n
* :32B currency code amount:<\/p>\n
** currency code : USD US DOLLAR<\/p>\n
** amount : #99799.14#<\/p>\n
** :41D available with\/by-swift addr:<\/p>\n
** BSPLAUS66<\/p>\n
** BANCO SAN PAOLO<\/p>\n
** LOS ANGELES AGENCY<\/p>\n
** :42C drafts at:<\/p>\n
** 270 DAYS AFTER B\/L DATE<\/p>\n
** :42A drawee – BIC:<\/p>\n
** YOURSELVES<\/p>\n
** :43P partial shipment:<\/p>\n
** PERMITTED<\/p>\n
** :43T transshipment:<\/p>\n
** PROHIBITED<\/p>\n
** :44B for transportation to:<\/p>\n
** CFR, FROM ANY PORT OF CANADA OR USA TO SANTOS-SP PORT<\/p>\n
** :44C latest date of shipment:<\/p>\n
** 171006<\/p>\n
** :45A descr goods and\/or services:<\/p>\n
** ERVILHAS VERDES, CANADENSES STRICTLY IN ACCORDANCE WITH <\/p>\n
** IMPORT PERMIT NR:0299-00\/0677-5<\/p>\n
** 46A documents required:<\/p>\n
** +SIGNED COMMERCIAL INVOICE IN TWO ORIGINALS AND TREECOPIES<\/p>\n
CONTAINING COMPLETE DESCRIPTION OF THE GOODS AS WELL AS BNFS<\/p>\n
** DECARATION STATING THAT IT IS IN ACCORDANCE WITH THE IMPORT<\/p>\n
** PERMIT A.M. AND AMENDMENTS THERETO IF ANY<\/p>\n
** +2\/3 ORIGINAL PLUS THREE COPIES OF CLEAN ON BOARD BILL OF<\/p>\n
** LADING CONSIGNED TO THE ORDER OF PRODUTOS ALIMETICIOS LTDA <\/p>\n
** AND MARKED \u201cFREIGHT PREPAID\u201d SHOWING IN FIGURES AND WORDS THE <\/p>\n
** AMOUNT OF FREIGHT PREPAID, INDICATING TRANSPORTING COMPANY <\/p>\n
** AND VESSEL\u2019S NAME, SHIPPING DATE AND B\/L NUMBER<\/p>\n
** +COPY OF BNFS\u2019 TELEX\/FAX IN WHICH THEY HAVE ADVISED US AND ALSO<\/p>\n
** THE APPLICANT QUOTING THE NR. OF THIS L\/C WITHIN TWO WORKING <\/p>\n
** DAYS AFTER SHIPPING DATE OF THE FOLLOWING INFORMATION:<\/p>\n
** 1) THE INVOICED CFR AMOUNT<\/p>\n
** 2) THE AMOUNT OF FREIGHT PREPAID<\/p>\n
** 3) THE DATE OF SHIPMENT<\/p>\n
** 4) B\/L NUMBER<\/p>\n
** 5) TRANSPORTING COMPANY AND VESSEL\u2019S NAME<\/p>\n
** THE CONTENTS OF THIS MESSAGE MUST BE FULFILLED FOR INSURANCE PURPOSE<\/p>\n
** +DRAFT IN DUPLICATE ISSUED BY BENEFICIARY DUE AT 270 DAYS AFTER<\/p>\n
** B\/L DATE DRAWN ON APPLICANT SHOWING THE NUMBER OF THIS L\/C<\/p>\n
** +BENEFICIARIES DECELARATION WHETHER THEY WILL OR NOT AVAIL<\/p>\n
** THEMSELVES OF THE REMAINING BALANCE, IF ANY, AND IN THE LATTER<\/p>\n
** CASE THEIR AGREEMENT TO ITS CANCELLATION<\/p>\n
** +ORIGIN CERTIFIATE IN ORIGINAL AND TWO COPIES<\/p>\n
** +PHITOSANITARY CERTIFICATE IN ORIGINAL AND TWO COPIES<\/p>\n
** +PACKING LIST WITH CODE AND DATE OF PRODUCTION AND MATURITY<\/p>\n
** IN TWO ORIGINALS AND TWO COPIES<\/p>\n
** 47A additional conditions:<\/p>\n
** +INSURANCE WILL BE COVERED HERE<\/p>\n
** +WILL NOT BE ACCEPTED ANY ADDITIONAL CHARGES EXCEPT FREIGHT <\/p>\n
** PREPAID AMOUNT ON BILL OF LADING<\/p>\n
** +THE DOCUMENTS MUST BE SENT TO US BY D.H.L. COURIER<\/p>\n
** +THIS L\/C COVERS FOB VALUE NOT EXCEEDING USD.80.679, 14 THE<\/p>\n
** BALANCE IS ESTIMATE OF FREIGHT CHARGES<\/p>\n
** +ON COMMERCIAL INVOICE MUST BE MENTIONED SEPARATELY THE <\/p>\n
** VALUE FOB AND FREIGHT<\/p>\n
** +IT IS MANDATORY THAT DOCUMENTS MUST BE PRESENTED TO BSPLAUS33<\/p>\n
** SINCE REIMBURSEMENT MUST BE EFFECTED TO SAID BANK ONLY<\/p>\n
** +THE DRAFT REQUESTED ON FIELD 46A MUST BE CONSIDERED AS<\/p>\n
** ADDITIONAL DOCUMENT SO, THE BENEFICIARY MUST ISSUE TWO (2) SET<\/p>\n
** OF DRAFTS DRAWN ON YOURSELVES AND ALSO DRAWN ON APPLICANT<\/p>\n
** +THE BENEFICIARY MUST SENT ONE SET OF ORIGINAL DOCUMENTS<\/p>\n
** TO PRODUTOS ALIMETICIOS LTDA BY COURIER WITHIN 08 (EIGHT) <\/p>\n
** WORKING DAYS AFTER SHIPMENT AND BENEFICIARY\u2019S CERTIFICATE TO <\/p>\n
** THIS EFFECT IS REQUIRED<\/p>\n
** +EXCEPT B\/L OTHER REQUIRED DOCUMENTS CAN BE NEGOTIATED WITH<\/p>\n
** COPIES<\/p>\n
** +AS PER PREVIOUS AGREEMENT YR COST FOR CONFIRMATION OF THIS L\/C <\/p>\n
** ARE:<\/p>\n
** ADVISE: USD40.00<\/p>\n
** NEGOTIATION: 0,10 FLAT, MINIMUM USD.75,00 PER NEGOTIATION<\/p>\n
** CONFIRMATION: 0.25PCT A QURTER OR FRACTION, MINIMUM <\/p>\n
** ACCEPTANCE: 2.25PCT PER YEAR<\/p>\n
** :49 confirmation instructions:<\/p>\n
** CONFIRM<\/p>\n
** :53A reimbursing bank – BIC:<\/p>\n
** BSPMIUS33<\/p>\n
** BANCO SAN PAOLO<\/p>\n
** MIAMI, FL<\/p>\n
** :78 instructions to pay\/acc\/neg bk:<\/p>\n
** +ON DUE DATE (I.E. 270 DAYS AFTER B\/L DATE) FOR PAYMENT OF<\/p>\n
** NEGOTIATED AMOUNT IN ACCORDANCE WITH TERMS AND CONDITIONS OF<\/p>\n
** THIS L\/C PLUS YR COMM\/CHGS PLS CLAIM REIMBURSEMENT THRU BSPMUUS33<\/p>\n
** TO WHOM WE WILL INSTRUCT ACCORDINGLY, QUOTING OUR L\/C NUMBER<\/p>\n
** +IT IS OBLIGATORY THAT ALL BANKING CHARGES RELATIVE THIS L\/C<\/p>\n
** MUST BE MENTIONED IN YOUR REMITTANCE LETTER INFORMING US <\/p>\n
** THE VALUE DATE OF REIMBURSEMENT CLAIM<\/p>\n
** +BANKING CHARGES (EXCEPT IN THE CASE OF CANCELLATION <\/p>\n
** REGARDING NON NEGOTIATION OF DOCUMENTS) NOT MENTIONED IN <\/p>\n
** YOUR REMITTANCE LETTER ARE NOT ACCEPTABLE<\/p>\n
** +REIMBURSEMENT IS SUBJECT TO ICC URR 525<\/p>\n
** :72 sender to receiver information:<\/p>\n
** EXCEPT SO FAR AS OTHERWISE EXPRESSLY STATED THIS L\/C IS SUBJECT<\/p>\n
** TO UCP DC (2007 REVISION) UCP NR 600 THIS SWIFT MESSAGE IS THE <\/p>\n
** OPERATIVE INSTRUMENT AND NO CONFIRMATION FOLLOWS<\/p>\n
** -}<\/p>\n
** {5:{MAC:E19BD17F} Authentication Result<\/p>\n
** {CHK:5FAED9763816} Checksum Trailer<\/p>\n
** {DLM:} Delayed Message}<\/p>\n
*End <\/p>\n
_____ o _____<\/p>\n
This L\/C is in the SWIFT format<\/p>\n
Letter of Credit Analysis<\/p>\n
Read carefully the entire Letter of Credit and answer the questions.<\/p>\n
Write (record) the fields\u2019 numbers from where you found the answer, beside each answer: 35 marks <\/p>\n
a. Issuing bank<\/p>\n
b. Advising bank<\/p>\n
Type of credit<\/p>\n
Buyer<\/p>\n
Seller<\/p>\n
Settlement<\/p>\n
Dates relevant to this credit<\/p>\n
How many types of documents does the LC call for? <\/p>\n
List all the documents required by this LC. <\/p>\n
Please specify the documents that can be prepared in the office and the documents you have to ask other organizations to prepare or certify them. <\/p>\n
How do you get these documents?<\/p>\n
k. What do you believe it is the biggest problem when some documents under LC are to be prepared by other organizations?<\/p>\n
Does this LC require a DRAFT? What is another name for the draft?<\/p>\n
This is a CONFIRMED Letter of Credit. Explain what a CONFIRMED LC is and which bank confirmed this LC. 5 marks<\/p>\n
Identify the type of the above Letter of credit and explain :<\/p>\n
The steps of issuing this credit (you have to identify the parties from the LC) 5 marks<\/p>\n
List 3 advantages and 2 disadvantages of an LC as a Method of Payment 5 marks<\/p>\n
On the template provided, prepare a commercial invoice as per this LC 5 marks PLEASE note: you are missing info for a perfect invoice. Use just the info from your LC. <\/p>\n
COMMERCIAL INVOICE<\/p>\n
Seller<\/p>\n
Seller<\/p>\n
Consignee<\/p>\n
Buyer: (if not consignee)<\/p>\n
Consignee<\/p>\n
Buyer: (if not consignee)<\/p>\n
Reference No.<\/p>\n
Reference No.<\/p>\n
Date<\/p>\n
Date<\/p>\n
Invoice No.<\/p>\n
Invoice No.<\/p>\n
Vessel\/Flight No.<\/p>\n
Vessel\/Flight No.<\/p>\n
Port\/Airport of Loading<\/p>\n
Port\/Airport of Loading<\/p>\n
Method of Payment<\/p>\n
Method of Payment<\/p>\n
Date<\/p>\n
Date<\/p>\n
Buyer\u2019s Ref No.<\/p>\n
Buyer\u2019s Ref No.<\/p>\n
Country of Origin of Goods<\/p>\n
Country of Origin of Goods<\/p>\n
Terms of Delivery <\/p>\n
Terms of Delivery <\/p>\n
Country of Destination<\/p>\n
Country of Destination<\/p>\n
Currency<\/p>\n
Currency<\/p>\n
Marks & Nos.<\/p>\n
Marks & Nos.<\/p>\n
No. of units<\/p>\n
No. of units<\/p>\n
Product Description<\/p>\n
Product Description<\/p>\n
Unit Price<\/p>\n
Unit Price<\/p>\n
Total<\/p>\n
Total<\/p>\n
Company Name:<\/p>\n
Company Name:<\/p>\n
Invoice <\/p>\n
Total<\/p>\n
Invoice <\/p>\n
Total<\/p>\n
Signature: <\/p>\n
Signature:<\/p>\n","protected":false},"excerpt":{"rendered":"
Draft Chapter 6 Draft Chapter 6 Students Name Class work INB355 Testing the understanding of a Letter of Credit 45 marks ** FIN UAK 1:F21BSPLAUS66WAXXX0687086568} ** {4:{177: Date and Time (YYMMDDHHMM) :170903 0737} ** {451: acceptance\/rejection: 0}} ** ——————————————————————————————————————— ** {1: FIN MESSAGE\/Session\/OSN F01 BSPSPABRXXX 0687 086568} ** {2: Output Message Type 700 issue of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[10],"class_list":["post-78998","post","type-post","status-publish","format-standard","hentry","category-research-paper-writing","tag-writing"],"_links":{"self":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts\/78998","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/comments?post=78998"}],"version-history":[{"count":0,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts\/78998\/revisions"}],"wp:attachment":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/media?parent=78998"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/categories?post=78998"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/tags?post=78998"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}