实务-练习题与答案Chapter.doc

Chapter12一 Chapter Summary1. Using a proper name for the traded good is significant. Currently businessmen usually nominate traded goods with names complying with the Harmonized Commodity Description and Coding System(HS) of tariff nomenclature.2. In international transactions, the commonly used ways of describing quality of goods in a contract are sale as seen, sale by sample, sale by description, sale by grade, sale by standard, sale by brand and trade mark, sale by name of origin and sale by descriptions and illustrations.3. A quality clause usually consists of the name and specifications, grade, or the serial number and date of the sample. Some flexible quality ranges are normally provided in the contract.4. In the international trade, the systems of weights and measures in common use are metric system, international system, British system and US system.5. There are two categories of units: metrical units and numbers. The methods of calculating weight are net weight, gross weight, conditioned weight and theoretic weight.6. The quantity o commodity is a major indispensable clause in a contract. It is very important to stipulate the quantity clause correctly. The more or less clause is a clause which stipulates that the quantity delivered can be more or less within certain extent(range).7. The main function of transport packing is to protect goods, and make the goods easy to store and ship. In this section, we mainly discuss transport packing.8. The two types of transport packing are unit packing and unionization(or combined)packing .Marks on transport packing can be divided into shipping mark ,indicative mark, warning mark weight/volume mark and country of origin mark. Shipping mark facilitates the identification and count of the goods in the process of loading and unloading, shipping and storing. The typical shipping mark cover four parts : the English abbreviation of the consignee; reference number, such as order number, invoice number; destination; serial number.9. Neutral packing is a special packing, which means no origin of the product is shown on the inner or outer packages. There are two kinds of neutral packing, one is neutral packing with designed brand, and the other is neutral packing without designed brand.10. There are two kinds of bar code which are in wide use around the world. One is “UPC-A bar code” which is by far the most common and well-known in the United States. The other type of bar code is EAN-13 which is divided into four areas; the number system, the manufacturer code, the product code and the check digit. China GSI country codes are 690-695.11. The packing clause usually consists of packing material and the way of packing. packing marks and charges are not included.12. pricing is one of the most important and complex tasks in business and many factors should be taken into account. Buyers tend to use soft currency while sellers tend to use hard currency as currency for account as well as currency for payment. The measures to offset foreign exchange exposures are:1)Try to reduce the import price or raise the export price;2)Stipulate exchange provision clause.13. Commission is the money received by an agency for his intermediary service. it may be or not may be indicated in the price. Commission is usually based on C-inclusive price. It is the result of multiplying C-inclusive price by a commission rate.14. Discount is a certain percentage of price reduction and a special favor given by the exporter to the importer. It is usually used as a mean of promoting and expending sales.15. The cost of earning foreign exchange in export is the ratio of the total export cost in Renminbi to net foreign exchange income in US dollar in export. profit or loss ratio in export is the ratio of profit or loss(which is the net foreign exchange income US dollar minus total export cost)to the total export cost.16. The price clause consists of two parts: unit price and total amount. Ways of price stipulation in a contract are fixed price, flexible price and price adjustment(revision)clause.二 Review QuestionsA. Briefly define the concepts1. HS2. sale as seen3. system of weights and measures4. quality tolerance5. conditioned weight6. gross weight7. more or less clause8. neutral packingB. Questions and problems1. Give an example to illustrate the elements that constitute the standard shipping mark recommended by the Working party on Facilitation of International Trade Procedure.2. Describe the composition of an EAB bar code.3. What are the factors that should be considered when pricing?4. Give an example to illustrate how to offset the foreign exchange exposure by stipulating an exchange proviso clause in the contract.C. Multiple-choice questions1.The sale o particular goods such as ornaments, jewels, paintings, artworks ,etc. is usually made by_a. sale as seen b. sale by buyers samplec. sale by sellers sample d. sale by specification2.The sample reproduced by the seller according to the buyers sample for the buyers confirmation is called_a. duplicate sample b. confirming samplec. reference sample d. buyers sample3.The mostly adopted method of sale is_a. sale by sample b. sale as seenc. sale by specification d. sale by trade mark and brand4.According to the CISG, if the quantity of goods the seller delivers is greater than the contracted quantity,_a .the buyer must accept the exceed quantityb. the buyer is entitled to reject all the goodsc. the buyer is entitled to reject the excess quantityd. all of the above are not correct5. Which of the following is Chinas official metrical system?a. The metric system b. The British systemc. The American system d. The international system of units(SI)6. At present, which of the following is not the system of weights and measures commonly used in international trade?a. SI b. The French systemc. The British system d. The metric system7. The weight applicable for weighting products with unstable moisture contents such as wool, cotton ,raw silk, etc. is_a. conditioned weight b. theoretic weightc. net weight d. dry weight9. The use of shipping mark on the outer packing is not aimed at_a. promoting the sales of goodsb. facilitating shipping and storing c. preventing the goods from being wrongly delivered or shippedd. facilitating the identification and count of the goods in the process of loading and unloadingD. True or false questions1. Although the British system and the American system of weights and measures are closely related .there are a number of differences between them.2. According to the CISG, if the buyer takes delivery of all or part of the excess quantity delivered by the seller ,he must pay for it at the contract rate.3. the quantity clause in the contract provides”500 M/T 10% more or less at sellers option”. This means the quantity delivered by the seller can be less than 450 M/T or more than 550 M/T.4. All the marks on the outer packages are called shipping marks.5. Chinas GSI country codes are 960-965.6. Packing charges are usually included in price7. Theoretically, use of hard currency(currency that is reliable and stable and more in demand)as payment currency is beneficial to the exporter.E. calculation1. Chinese Company A imported 1000 bales of wool from Australia. The payment is to be made against conditioned weight. The actual quantity is 99790kgs, the actual moisture regain is 12.82%.The standard moisture regain provided in the contract is 11%.How much should Company A for this batch of imports?2 .The original price quoted by a Chinese exporter is US$200 per M/T CFRC2 Vancouver. The Canadian importer requested the exporter to make a new quotation on CFRC3.How much should the new quotation be?3. Chinese Company A exported 1000 cartons of oranges. The purchase price was RMB100 per carton and domestic charges were15% of the purchase price. The company could get an export tax rebate for RMB7 per carton. The export price for the goods was US$19 per carton CFR Bangkok. The freight paid to the carrier was US$1.2 per carton. calculate the cost of earning foreign exchange in export.4. Chinese Exporter A concluded a transaction with a British importer through a middleman. The contract provided “Quantity”500 M/T; Unit price:US$450 per M/T CFRC2% Liverpool”. Suppose the ocean freight was US$29 per M/T and the commission was to be remitted after the exporter collected all the price. Calculate:(1) How much was the total commission?(2) What was the net foreign exchange income?5. Company A exported Commodity X to Japan. The export price was US$500 per carton CIF Osaka. The freight and insurance premium paid were US$50 and US$7 respectively. The domestic purchase price was RMB1600 per carton and all domestic direct and indirect charges were 17% of the purchase price. Calculate:(1) The profit or loss ratio in export(2) The cost of earning foreign exchange in export.(Suppose the foreign exchange ratio was US$100=RMB8.30)F. Case study1. Chinese exporter A sold 2 million metric tons of Chinese Northeast Soybean to French Importer B.The contract stipulated:” Moisture (max.)15%, Oil content(min.)18%,Admixure(max.)1.5%.”Afterwards, A sent some sample to B and informed B in a fax that the goods delivered were the same as the sample. But when the goods arrived at the destination, B found the quality of the goods was not in conformity with the goods. It then presented a commodity inspection and made a claim against A.A rejected the claim arguing that the sale was made by specifications. Fortunately the dispute was finally settled by conciliation. Make your comments on this case.2. Japanese distributor A ordered a batch of the West Lake Longjing tea, Grade 2 from a Chinese company B. When B was about to deliver the goods, B found that their stock war running short. In order to effect shipment as schedule, B supplemented some tea of Grade 1 and informed A that the supplemented tea would be priced the same as Grade 2,ne extra charges. was As method proper? Why?3. Chinese Company A sold canned fruit to Canada. The contract provided “Quantity:200 cartons; Packing: in cartons containing 20 cans of 100 grams each.” The goods delivered by A were 200 cartons containing 10 cans of 200 grams each. Do you think A was in breach of contract? 三Answers to Review QuestionsA. Brief define the concepts1.HS:Acronym of Harmonized Commodity Description and Coding System of Tariff Nomenclature. It is an internationally standardized system of names and numbers for classify traded products.2.sale as seen: A sale made on the basis that the buyer has inspected the goods and is buying them as a result of this inspection.3.system of weights and measures: a set of units which can be used to specify anything which can be measured.4.quality tolerance: Permissible variation in quality internationally recognized or mutually agree upon by the parties to the sale contract.5.conditioned weight: A weight which is applicable or weighing products with unstable moisture contents such as wool, cotton, raw silk, etc .It equals dry weight plus standard moisture weight: Weight of a good itself7.gross weight: Net weight plus the weight of packing(tare weight)of a good8.more or less clause: A clause which allows the quantity delivered be a certain percentage more or less than contract quantity.9.neutral packing; A special type of packing where there is no country of origin on it.B. Questions and problems1.The standard Shipping Mark is made up of the following four elements in the sequence indicated.Example omitted.2.An EAN bar code id divided into four areas:1)The number system: The number system consists of two digits(sometimes three digits)which identify the country(or economic region)numbering authority which assigned the manufacturer code;2)The manufacturer code: The manufacturer code is a unique code assigned to each manufacturer by the numbering authority indicated by the number system code.3)The product code: The product code is a unique code assigned by the manufacturer;4)The check digit: The check digit is an additional digit used to verify that a bar code has been scanned correctly.3.1)have a good knowledge of the international market level2)The policies and regulations that apply to a particular market area3)Exporters specific purposes or the importers requirements4)Watch the change of supply and demand relationship and the trend of rising and falling of the market prices5)Include adequate profit margin over actual production and distribution costs, etc6)Take relevant terms such as the quality and quantity of the products contracted, transportation costs, place and terms of delivery etc. into account.7)Method of payment of the goods and the possible fluctuations of foreign exchange rates are other factors that should be considered when pricing.C. Multiple-choice questions1.a 2.b 3.c 4.c 5.d 6.b 7.a 8.aD. True or false questions1.T 2.T 3.F 4.F 5.F 6.T 7.TE. Calculation1.Conditioned weight=actual weight*(1+standard moisture regain)（1+actual moisture regain） =99790*(1+11%)/(1+12.82%)=98180.2kgs2. CIF=CIFC2*(1-2%)=200*98%=US$196 CIFC3=net price /1-commission rate =196/1-3% =US$202.063. Cost of e