Global Logistics CENTENNIAL COLLEGE Individual Assignment<\/p>\n
Course Code:<\/p>\n
INTL704<\/p>\n
Course Name:<\/p>\n
Global Logistics<\/p>\n
Module 5: Individual Assignment Incoterms\u00ae (15%)<\/p>\n
In this individual assignment, you will apply concepts learned in this module (CIFFA etextbook, CIFFA elearning, Lesson: Module 5) around Terms of Trade \/ Incoterms\u00ae 2020. Work out the assignment prior to beginning the quiz. Submit your completed assignment before the end of Module 6.<\/p>\n
You are asked to manage the following two shipments of intermodal cargo going by TEU (sea) or ULD (air).<\/p>\n
SHIPMENT A<\/p>\n
SHIPMENT B<\/p>\n
Origin:
Shipper\u2019s Plant<\/p>\n
Budd\u2019s BMW Canada,
Oakville, ON, CA<\/p>\n
VW, Taubat\u00e9, Brazil<\/p>\n
Terminal & customs<\/p>\n
Schenker Whse,
Montreal, Quebec<\/p>\n
Sao Paulo International Airport<\/p>\n
Port \u2013 seller\u2019s side<\/p>\n
Port of Halifax, NS<\/p>\n
Port of Santos, Brazil<\/p>\n
Port \u2013 buyer\u2019s side<\/p>\n
Port of Antwerp, Belgium <\/p>\n
Port of Miami, Florida <\/p>\n
Terminal & customs<\/p>\n
Schenker Whse,
Munich, Germany <\/p>\n
YYZ, Toronto <\/p>\n
Destination:
Buyer\u2019s Warehouse<\/p>\n
BMW,
Munich, Germany<\/p>\n
VW, 550 Adelaide St E., Toronto, Canada, <\/p>\n
Use Shipments A and B (above) to completely label the diagram with locations of delivery and shade the seller\u2019s obligations for the following containerized shipments:<\/p>\n
(1 mark) Shipment B \u2013 Incoterm\u00ae is EXW<\/p>\n
||<\/p>\n
Cost<\/p>\n
Transportation<\/p>\n
\u00a0<\/p>\n
Insurance<\/p>\n
\u00a0<\/p>\n
\u00a0\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
Risk of ownership<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
pre-carriage<\/p>\n
main carriage<\/p>\n
on-carriage<\/p>\n
(1 mark) What is the complete Incoterm\u00ae? <\/p>\n
(1 mark) Shipment A \u2013 Incoterm\u00ae is CPT<\/p>\n
||<\/p>\n
Cost<\/p>\n
Transportation<\/p>\n
\u00a0<\/p>\n
Insurance<\/p>\n
\u00a0<\/p>\n
\u00a0\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
Risk of ownership<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
pre-carriage<\/p>\n
main carriage<\/p>\n
on-carriage<\/p>\n
(1 mark) What is the complete Incoterm\u00ae?<\/p>\n
(1 mark) Shipment B \u2013 Incoterm\u00ae is CIF port<\/p>\n
||<\/p>\n
Cost<\/p>\n
Transportation<\/p>\n
\u00a0<\/p>\n
Insurance<\/p>\n
\u00a0<\/p>\n
\u00a0\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
Risk of ownership<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
pre-carriage<\/p>\n
main carriage<\/p>\n
on-carriage<\/p>\n
(1 mark) What is the complete Incoterm\u00ae? <\/p>\n
(1 mark) Shipment A \u2013 Incoterm\u00ae is DPU port<\/p>\n
||<\/p>\n
Cost<\/p>\n
Transportation<\/p>\n
\u00a0<\/p>\n
Insurance<\/p>\n
\u00a0<\/p>\n
\u00a0\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
Risk of ownership<\/p>\n
\u00a0<\/p>\n
\u00a0<\/p>\n
pre-carriage<\/p>\n
main carriage<\/p>\n
on-carriage<\/p>\n
(1 mark) What is the complete Incoterm\u00ae? <\/p>\n
(1 mark) DAP is best for a contract in which the buyer is a large international company? <\/p>\n
true <\/p>\n
false<\/p>\n
(1 mark) Why? Or Why not? Justify your choice for question 9.<\/p>\n
(1 mark) What potential problem is there with EXW that makes FCA a better selection in most cases?<\/p>\n
(1 mark) Using FOB \u201cnamed port\u201d in your Sales Contract shows interested parties that (select all that apply):<\/p>\n
The freight costs must be prepaid up to the port of arrival<\/p>\n
The seller must arrange and pay for marine insurance<\/p>\n
It is a marine bulk shipment<\/p>\n
The seller must arrange and pay for any documentation or export declaration formalities in the country of origin<\/p>\n
The seller must arrange and pay for main-carriage<\/p>\n
(1 mark) I am responsible for paying all the bills at my company. I notice that we, the buyers, have received a shipment for which the bill of lading says, \u201cfreight prepaid\u201d. Am I correct that we will be receiving an invoice from a carrier or freight forwarder for the freight charges for this shipment? <\/p>\n
Yes<\/p>\n
No<\/p>\n
Sometimes<\/p>\n
I need more information<\/p>\n
(1 mark) List the Incoterm(s) \u00ae acronyms used for shipments in which the truck bill of lading delivering the product to final destination is for the seller\u2019s account.<\/p>\n
(1 mark) List all the Incoterms\u00ae in which responsibility for costs and risks are divided at two different places: <\/p>\n
(1 mark) Incoterms\u00ae 2020 made a clarification about where delivery takes place. For the terms in \u201cD.\u201d above, which \u201cplace\u201d is where the seller is considered to have completed \u201cdelivery.\u201d <\/p>\n
where the costs divide<\/p>\n
where the risks transfer<\/p>\n
both places<\/p>\n
in this case, no named place is required<\/p>\n
Compare and contrast the following two terms: (2 marks each)<\/p>\n
CPT<\/p>\n
CIF<\/p>\n
Mode(s) of transportation <\/p>\n
Place of division of cost obligations<\/p>\n
Place of transfer of responsibility for risk of loss<\/p>\n
Insurance requirements<\/p>\n
(2 marks) Sammy is a freight forwarder arranging shipping of goods via air from Place A to Place B. It is agreed that the Seller will arrange pre-carriage and deliver the goods to Sammy\u2019s warehouse. The rest of the costs and risks are for Sammy\u2019s customer, the Buyer. What is the FULL Incoterm\u00ae? <\/p>\n
Excellent Exporters, in Brampton, Ontario sells products to Toys R US in Tehran, Iran under a clean, onboard bill of lading. <\/p>\n
Terms of sale: CPT, Designated Port, Incoterms\u00ae 2020<\/p>\n
Cargo: 22 wooden pallets of toys loaded in one 20-ft ocean container<\/p>\n
Terms of delivery: consolidated container, ocean freight<\/p>\n
Terms of payment: open account, net 60 days<\/p>\n
(1 mark) Who selects the freight forwarder and pays the ocean freight charges?<\/p>\n
Buyer \udbc0\udc88 Seller \udbc0\udc88<\/p>\n
(1 mark) The place where the risk transfers from the seller to the buyer is the \u201cDesignated Port\u201d<\/p>\n
True \udbc0\udc88 False \udbc0\udc88<\/p>\n
(1 mark) There are goods of U.S. origin in the consignment and a general export permit is required. However, this GEP 12 was not entered on the export declaration (CAED). Who is responsible for paying the administrative penalty to the CBSA? <\/p>\n
Buyer \udbc0\udc88 Seller \udbc0\udc88<\/p>\n
(1 mark) The shipment was delayed at the arrival port due to customs clearance problems. Storage charges were US $600.00. Who is responsible to pay for the storage?<\/p>\n
Buyer \udbc0\udc88 Seller \udbc0\udc88<\/p>\n
(1 mark) When the container was unloaded at the consignee\u2019s door, the contents of eight pallets were damaged. Who bears the loss?<\/p>\n
Buyer \udbc0\udc88 Seller \udbc0\udc88<\/p>\n
(1 mark) What would be your recommendation about Incoterm\u00ae named place in this problem?<\/p>\n
You are shipping 5 skids of sulfuric acid from a \u201cMontreal Manufacturer\u201d, sold FCA Montreal Incoterms\u00ae 2020. This is an incorrect use of Incoterms\u00ae because a specific named location is not given. After the sulfuric acid was loaded into the Cartage company truck, at the plant, the driver on the way to the export terminal in Montreal has an accident on the expressway. His truck \u201cjackknifes\u201d, tips, and crashes against the steel guardrail, busting the trailer doors open and spilling sulfuric acid cans all over the highway, closing it for hours in both directions.<\/p>\n
This leaves us with two possible situations:<\/p>\n
(2 marks) Situation #1: If the buyer\u2019s \u201cnominated carrier\u201d was moving the sulfuric acid to the export terminal Montreal, then the buyer bears the risk. Please note that \u201cnominated carrier\u201d may also mean \u201clocal forwarder\u201d, or \u201cforwarder\u2019s agent overseas giving instructions to their local agent\u201d to collect the freight. A proper description of the Incoterm\u00ae for this case would be: <\/p>\n
Full Incoterm\u00ae:<\/p>\n
(2 marks) Situation #2: The seller decides to use their own in-house trucks to deliver the cargo to the export terminal. The only information provided to the seller are the booking details for the move. In this situation the seller has yet to deliver the goods in accordance with the Incoterm\u00ae used. Thus, the seller has the risk of loss. The proper Incoterm\u00ae for this situation would be<\/p>\n
Full Incoterm\u00ae: <\/p>\n
You are employed by YYJ Exports, Victoria, BC. Your company wants to export electrical supplies to Hotwire Electrical Inc. in Tokyo, Japan. Shipping instructions are as follows:<\/p>\n
The goods are to be shipped from YYJ Exports by PRO NORTH Trucking (175 Apple Ave., Victoria, B.C.) by truck on the ferry to Vancouver Airport and loaded onto a JL flight to Tokyo<\/p>\n
From Tokyo Airport\u2019s Freight Terminal NIPPON Trucking will deliver the goods to Hotwire Electrical Inc. Main Warehouse, 123 ABC Street, Tokyo, Japan.<\/p>\n
The buyer has asked that you quote prices under various alternatives. What complete Incoterms\u00ae would apply for the following scenarios?<\/p>\n
(2 marks) The buyer wants the goods delivered, insured, to Tokyo Terminal, but they are willing to assume risk for the goods once they are given to Pro North Trucking in Victoria.<\/p>\n
(2 marks) The buyer wants you to deliver the goods to the Freight Terminal HND Tokyo Airport. The buyer will make their own insurance arrangements, and is willing to assume risk for the goods once they are loaded on to PRO NORTH Trucking\u2019s trailer.<\/p>\n
(2 marks) The buyer wants you to deliver the goods packed and loaded to PRO NORTH Trucking at your plant in Victoria. The buyer will accept the risk and cost for the goods once they are in the possession of PRO NORTH Trucking and will make all the necessary arrangements to bring them to Osaka. <\/p>\n
(2 marks) The buyer wants you to deliver the goods to JL at the Freight Terminal, Vancouver International where they will accept the risk and cost for the goods and make the necessary arrangements to transport the goods to Tokyo and beyond.<\/p>\n
(2 marks) The buyer wants you to deliver the goods to their agent, Schenker Logistics, Tokyo Airport where they will assume risk for the goods, account for them to customs, and pay duties and taxes and handle the final delivery.<\/p>\n
(2 marks) Compare and contrast the insurance rules from Incoterms\u00ae 2010 to Incoterms\u00ae 2020.<\/p>\n
(2 marks) Given that the Incoterm\u00ae used in a contract is CIF (port of arrival), what advice would you, as a freight forwarder, give your client, the consignee with respect to insurance?<\/p>\n
\u00a9 2020 CENTENNIALCOLLEGE.CA All rights reserved. 1<\/p>\n
\u00a9 2020 CENTENNIALCOLLEGE.CA All rights reserved. 4<\/p>\n","protected":false},"excerpt":{"rendered":"
Global Logistics CENTENNIAL COLLEGE Individual Assignment Course Code: INTL704 Course Name: Global Logistics Module 5: Individual Assignment Incoterms\u00ae (15%) In this individual assignment, you will apply concepts learned in this module (CIFFA etextbook, CIFFA elearning, Lesson: Module 5) around Terms of Trade \/ Incoterms\u00ae 2020. Work out the assignment prior to beginning the quiz. Submit […]<\/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-93271","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\/93271","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=93271"}],"version-history":[{"count":0,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/posts\/93271\/revisions"}],"wp:attachment":[{"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/media?parent=93271"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/categories?post=93271"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/papersspot.com\/blog\/wp-json\/wp\/v2\/tags?post=93271"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}