Supply Chain Management Transportation 3

Question 1

A company ships goods under Incoterms 2020 'DAP' (Delivered at Place). Who bears the cost and risk of import customs clearance?

Accepted Answer

The buyer

Answer

Under DAP, the seller delivers goods ready for unloading at the named place, but the buyer is responsible for import duties and clearance.

Question 2

Which transportation mode is most appropriate for high-value, time-sensitive electronics components that need to cross the Pacific Ocean in 24 hours?

Accepted Answer

Air freight

Answer

Air freight is the only mode capable of trans-Pacific transit in approximately 24 hours, justified by high value and time sensitivity.

Question 3

The 'cube utilization' metric in trucking refers to:

Accepted Answer

The percentage of available trailer cubic volume filled by cargo

Answer

Cube utilization measures how efficiently the available cubic space inside a trailer is filled with freight.

Question 4

Under the Hours of Service (HOS) regulations, a property-carrying commercial driver may drive a maximum of how many hours before requiring a 10-hour off-duty break?

Accepted Answer

11 hours

Answer

FMCSA HOS rules allow property-carrying drivers to drive up to 11 hours after 10 consecutive hours off duty.

Question 5

Which pricing model do LTL carriers use to determine freight charges?

Accepted Answer

Weight breaks based on density class (NMFC)

Answer

LTL carriers use NMFC freight classifications based on density, stowability, handling, and liability to set rates.

Supply Chain Management Practice Test

Supply Chain Management Practice Test

Supply Chain Management Transportation 3