Ocean and Sea Freight MCQ Test

Question 1

When comparing the NOS rate to the general cargo rate,

Accepted Answer

Higher

Answer

The NOS (Not Otherwise Specified) rate is typically higher than the general cargo rate. This is because NOS cargo refers to goods that do not fit into specific, pre-defined classification categories, making them potentially more challenging or costly to handle, store, or transport. The higher rate compensates for the increased uncertainty or specialized requirements associated with such unclassified cargo.

Question 2

The per ton size for cargo tariff to be weight basis, is

Accepted Answer

40ft

Answer

In ocean freight, cargo tariffs are often calculated based on either weight or measurement, whichever yields a higher freight charge. The standard conversion factor for a 'measurement ton' is typically 40 cubic feet. This means that if a cargo occupies more than 40 cubic feet per ton of weight, it will be charged based on its volume rather than its weight.

Question 3

Which form of charter gives complete command over the ship?

Accepted Answer

Bareboat

Answer

A bareboat charter, also known as a demise charter, gives the charterer complete operational and commercial command over the ship. Under this arrangement, the charterer is responsible for manning, maintaining, insuring, and supplying the vessel, essentially acting as the owner for the duration of the charter period. The owner only provides the vessel itself.

Question 4

If a country demands CIF from exporters, then this measure

Accepted Answer

Protect it's shipping

Answer

When a country demands CIF (Cost, Insurance, and Freight) from exporters, it means the exporter is responsible for arranging and paying for the insurance and freight to the destination port. This measure is often implemented to protect and promote the country's domestic shipping and insurance industries. By requiring these services to be handled locally, the country aims to boost its own maritime sector and retain economic benefits.

Question 5

Which country forbids closed conferences?

Accepted Answer

USA

Answer

The USA has historically forbidden closed conferences in ocean shipping, viewing them as anti-competitive practices. Closed conferences are agreements among shipping lines that restrict membership and fix rates, which the U.S. believes can stifle competition and harm shippers. U.S. maritime law generally promotes open competition to ensure fair market practices.

Ocean Sea Freight Practice Test

Ocean Sea Freight Practice Test

Ocean and Sea Freight MCQ Test