Import Export Definitions

Choose True or False for each statement.

1. Tariffs are a tax on imported goods that must be paid.
a) True
b) False

2. A Pro Forma Invoice is a final bill sent after goods are delivered.
a) True
b) False

3. Customs is the official department that regulates the export of goods from a country.
a) True
b) False

4. Declaring goods is only necessary for items being exported, not imported.
a) True
b) False

5. F.O.B. (Free On Board) means the buyer is responsible for the goods once they are loaded onto the ship.
a) True
b) False

6. A Certificate of Origin is needed to show where a product was made or processed.
a) True
b) False

7. C.I.F. (Cost, Insurance, Freight) includes the price of goods, transport, and insurance only within the exporting country.
a) True
b) False

8. A Letter of Credit guarantees payment to the exporter by the importer's bank.
a) True
b) False