Logistics Systems: Transportation Cost Structure

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Which Incoterm requires the seller to ensure the export clearance and cover the costs of carriage to the agreed destination?

DAT

CPT (correct)

CIP

DAP

Which Incoterm requires the seller to deliver the goods at the place agreed with the buyer, covering all transportation, delivery, and unloading costs?

DAT

DAP (correct)

CIP

CPT

Which Incoterm requires the seller to cover the goods for loss or damage during transport?

CPT

DAP

DAT

CIP (correct)

Under which Incoterm is the delivery considered done when the goods are shipped at the buyer's agreed destination place?

DDP Signup and view all the answers

Which Incoterm requires the seller to assure the delivery and unloading of the goods in the destination terminal agreed with the buyer?

DAT Signup and view all the answers

Which Incoterm does not require the seller to cover the export clearance?

None of the above Signup and view all the answers

What is the main characteristic of fixed-cost components in transportation costs?

They remain the same regardless of volume variation Signup and view all the answers

Which of the following is an example of a variable cost in transportation?

Fuel costs Signup and view all the answers

What is the primary function of terminals in transportation?

To sort, load, and unload goods Signup and view all the answers

Which mode of transportation is typically used to transport bulky commodities over long distances?

Rail Signup and view all the answers

What is the main advantage of rail transportation?

It is the lowest-cost mode of transportation Signup and view all the answers

What is the primary mode of transportation used in the domestic supply chain?

Motor Carriers Signup and view all the answers

What is the responsibility of the seller under the FAS clause?

To clear export customs and deliver the goods at the port of loading Signup and view all the answers

Which of the following is NOT a primary factor influencing transportation costs?

Weight of the goods Signup and view all the answers

What does the CFR clause imply?

The seller is responsible for paying the costs necessary to bring the goods to the agreed port of destination Signup and view all the answers

What is the main difference between the CFR and CIF clauses?

The seller's obligation to cover insurance of goods during transport Signup and view all the answers

Under which clause is the seller responsible for delivery of goods at the port of destination?

None of the above Signup and view all the answers

What is the common obligation of the seller under all the clauses mentioned?

To clear export customs Signup and view all the answers

What is the primary purpose of interconnecting with other carriers of the same or different modes?

To enable through rates for shippers Signup and view all the answers

Who is responsible for providing the weight of a shipment?

Carriers or shippers Signup and view all the answers

What is the term used to describe the ability of carriers to communicate shipment tracking information to shippers?

Tracing Signup and view all the answers

What is the purpose of expediting a shipment?

To move a shipment faster than normal Signup and view all the answers

What is the term used to describe the costs of paperwork and invoicing the shipper?

Billing and collecting Signup and view all the answers

What is the term used to describe the fourth industrial revolution?

Industry 4.0 Signup and view all the answers

What is a primary factor that contributed to reduced manufacturing costs during the second industrial revolution?

Electric power Signup and view all the answers

What is the primary focus of the fourth industrial revolution?

Emerging technologies such as blockchain and IoT Signup and view all the answers

What role does logistics play in the Industry 4.0 era?

A competitive lever, a social value creator, and a sustainability enabler Signup and view all the answers

How can blockchain be used to improve food safety?

By providing an efficient response to food recalls Signup and view all the answers

What is a challenge faced by logistics in tracking and monitoring product recalls?

It is costly and time-consuming Signup and view all the answers

What is a potential benefit of using blockchain in container shipping?

It improves the efficiency of container shipping Signup and view all the answers