Incoterms 11

Question 1

How much incoterms are there?

Answer 1

11, 7 for any mode of transport and 4 terms are for sea and inland waterway transport

Question 2

Explain the incoterm EXW- Ex works

Answer 2

Minimum responsibility, the sellers makes the goods ready at the buyers facility the seller doesn’t need to load into the truck just make the goods ready that’s where the responsibility stops

Question 3

Explain the FAS ( free along ship)

Answer 3

the sellers places the goods for the buyer alongside the vessel at the port of loading. once the sellers places the goods alongside the vessel the obligations risks etc passes to the buyer

Question 4

Explain FOB ( Free on board)

Answer 4

The sellers delivers the goods on board the vessel once on board the obligations passes to the buyer

Question 5

Explain CFR ( Cost and Freight

Answer 5

sellers delivers the goods to buyer at port of delivery. when at port of delivery the buyer is responsible for incurring the goods

Question 6

Explain CIF (Cost insurance and freight

Answer 6

seller delivers goods at the buyers port of delivery the seller is responsible for the insurance of the goods

Question 7

The difference between CIF and CFR?

Answer 7

CFR and CIF are the same only by :

CFR the buyer is responsible for the insurance of the goods

CIF the seller is responsible for the insurance of the goods

Question 8

Explain dap (Delivered Duty paid)

Answer 8

The seller is responsible for the goods risks of the good until it reached the final destination