Questions from last years exams Flashcards
The ____ channel handles the buying, selling, and collection of payment.
a) distribution
b) transaction
c) documentation
d) finance
e) none of the above
Transaction
Which of the following is not a type of non-containerized cargo?
a) project
b) bulk
c) break-bulk
d) neo-bulk
e) none of the above
Project
A bareboat charter is ___
a) one that is valid for several years
b) one that becomes void when one provision is violated
c) one where the owner of the vessel supplies only the vessel
d) an agreement between two or more competing carriers to share cargo
e) none of the above
One where the owner of the vessel supplies only the vessel
The air freight industry equivalent to ocean liner conferences is ___.
a) the FAA
b) the United Nations
c) IATA
d) The World Trade Organization
e) None of the above
IATA
IATA is controlled by ___
a) the scheduled airlines
b) the integrated airlines
c) the unscheduled airlines
d) major airlines
e) none of the above
The scheduled airlines
What appears to be the major environmental concern facing contemporary airport managers?
a) wildlife issues
b) water pollution
c) air pollution
d) noise pollution
e) none of the above
Noise pollution
What is probably the single most costly element of international logistics?
a) inventory management
b) warehousing
c) transportation management
d) procurement
e) none of the above
Transportation management
Freight ____means the assembling of many smaller shipments into a smaller number of large shipments.
a) assortment
b) break-bulk
c) regrouping
d) consolidation
e) none of the above
Consolidation
____is an attempt to have a specific shipment move faster through a carrier’s system.
a) expediting
b) quick response
c) recoupering
d) lightering
e) none of the above
Expediting
Charges that are levied for failure to load or unload transportation equipment in a timely fashion are referred to as ___.
a. recoupering
b. accumulation or consolidation
c. cabotage
d. detention or demurrage
e. none of the above
Detention or demurrage
A guarantee issued by a bank that it will pay the beneficiary upon the presentation of certain documents evidencing the conditions of the credit have been satisfied is known as a ___.
a. sight draft
b. letter of credit
c. time draft
d. commercial invoice
e. none of the above
Letter of credit
What is a confirmed letter of credit?
a. official confirmation that buyer has received the goods
b. official confirmation that seller has tendered the goods to the transport carrier
c. letter of credit signed by the appropriate bank official
d. letters of credit guaranteed by a second bank
e. none of the above
Letters of credit guaranteed by a second bank
With respect to international trade, air cargo carriers are liable for approximately (within $2) ___ per kilo of the entire shipment.
a. $15
b. $25
c. $40
d. $50
e. none of the above
$25
When a loss occurs in international trade, which party is generally the first to be notified of a potential claim?
a. shipper
b. carrier
c. insurance company d. freight forwarder
e. none of the above
Carrier
What is subrogation?
a. additional fees paid to insure high value products
b. the voiding of marine insurance
c. a type of clause in marine insurance
d. transfer of all rights against the carrier to an insurance company
e. none of the above
Transfer of all rights against the carrier to an insurance company
The single greatest determinant of success in managing famine relief is ___.
a. the management of information
b. the number of volunteers involved
c. the adequacy of the affected nation’s infrastructure
d. the amount of food provided
e. none of the above
The management of information
In operations that require food to be brought in from the outside, the food should be obtained ___.
a. from any company willing to donate
b. as close as possible to the disaster zone
c. within one day’s plane travel of the disaster zone
d. from the world’s wealthiest nations
e. none of the above
As close as possible to the disaster zone
Which of the following is not classified as a “recommended” food for famine relief operations?
a. grains
b. salt
c. sugar
d. canned baby food
e. none of the above
Canned baby food
Dryports are becoming more common. Which of the following is a benefit of a dryport?
a. they are located close to ports
b. all ships can deliver to dryports
c. real estate prices are normally cheaper when to compared to prices at ports
d. there is no alcohol allowed at a “dry” port
e. all of the above are distinguishing attributes
Real estate prices are normally cheaper when to compared to prices at ports
What is the largest single commodity, by volume, to move by sea?
a. Petroleum
b. coal
c. grain
d. lumber
e. none of the above
Petroleum
Each of the following is a logistics function, except:
a. customer service
b. handling returns
c. traffic management
d. purchasing
e. all of the above are logistics functions
All of the above are logistics functions
A 40/40/20 split refers to ___.
a a method for compensating international freight forwarders
b. a method of allocating liner traffic between two nations
c. a method for compensating vessel crews
d. a method for allocating general export licenses among large, medium, and small firms
e. none of the above
A method of allocating liner traffic between two nations
What form of transport tends to be most beneficial to the largest number of people in a third world nation?
a. rail
b. highway
c. water
d. air
e. none of the above
Highway
What tends to be the most important benefit of pre-shipment inspections for third world countries?
a. reduction in the number of misshipped items
b. reduction in the possibility of importing destructive insects
c. increased revenues
d prevention of fraud
e. none of the above
Increased revenues
___ is the sale of goods for export at prices below those set in the producer’s market.
a. demurrage
b. bartering
c. dumping
d. cabotage
e. none of the above
Dumping
Petroleum, grain, coal, and iron ore are common examples of ___ cargoes.
a. bulk
b. break-bulk
C. neo-bulk
d. project
e. none of the above
Bulk
The two best-known examples of neo-bulk cargo are ___ and ___.
a. computers, video games
b. microwaves, VCRs
c. automobiles, logs
d. computers, cellular phones
e. none of the above
Automobiles, logs
Which is the best mode of transport?
a. air
b. road
c. rail
d. water
e. impossible to say without more information
Impossible to say without more information
A charter arrangement that commits the ship owner “to carry quantities of a specific cargo on a particular route or routes over a given period of time using ships of his choice…” refers to a contract of ___.
a. inviolate
b. affreightment
c. equality
d. openness
e. none of the above
Affreightment
___ means reducing the capacity of an existing fleet to better fit a shrinking or level market.
a. rationalization
b. shipbreaking
c. pooling
d. cabotage
e. none of the above
Rationalization
What is a “fighting” ship?
a. a colloquial term for a military vessel
b. used by conferences to undersell a persistent competitor
c. the oldest ship in a carrier’s fleet
d. the fastest ship in a carrier’s fleet
e. none of the above
Used by conferences to undersell a persistent competitor
If direct airlines are the wholesalers of aircraft space, air freight ___ are the retailers of that space.
a. charter operators
b. couriers
c. shipping associations
d. forwarders
e. none of the above
Forwarders
The Panama Canal may be underutilized because of ___.
a. physical constraints of the canal itself
b. high prices to use it
c. changing world trade patterns
d. takes too long to travel it
e. none of the above
Physical constraints of the canal itself
Which of the following is a benefit of dryports?
a. faster customs clearance
b. more environmentally friendly as there is often a shift from road to rail
c. reduce local environmental problems in cities the ports are located in
d. possibility of getting better access to other transport modes
e. all of the above are benefits of dryports
All of the above are benefits of dryports
