CE Trade Documentation & Payment Methods

Question 1

What is a Commercial Invoice used for in exports?

Accepted Answer

Billing document specifying goods and price

Answer

Proof of insurance.

Answer

Export license.

Answer

Certificate of inspection.

Question 2

Which document is required for customs clearance?

Accepted Answer

Bill of Lading and Commercial Invoice

Answer

Promotional brochure.

Answer

Business card.

Answer

Newsletter subscription.

Question 3

What payment method guarantees payment to exporters?

Accepted Answer

Letter of Credit (LC)

Answer

Cash in advance.

Answer

Open account.

Answer

Personal check.

Question 4

Which document lists the contents of a shipment?

Accepted Answer

Packing List

Answer

Certificate of Origin.

Answer

Inspection Certificate.

Answer

Promissory Note.

Question 5

What does the Certificate of Origin declare?

Accepted Answer

Country of manufacture

Answer

Payment details.

Answer

Shipping cost.

Answer

Transit time.

Question 6

What method involves payment after goods are delivered?

Accepted Answer

Open account

Answer

Letter of Credit.

Answer

Cash in advance.

Answer

Bank guarantee.

Question 7

Which document is often required for insurance claims?

Accepted Answer

Insurance Certificate

Answer

Commercial Invoice.

Answer

Bill of Lading.

Answer

Certificate of Origin.

Question 8

What is 'cash in advance' in international trade?

Accepted Answer

Payment before shipment

Answer

Payment after shipment.

Answer

Payment upon delivery.

Answer

Payment at customs.

Question 9

Which party issues a Letter of Credit?

Accepted Answer

Buyer's bank

Answer

Seller.

Answer

Shipping company.

Answer

Customs broker.