29 Questions
What would be the confirming bank's advice to the beneficiary regarding the presented documents?
Documentary credit has expired and late presentation.
What is the liability of the issuing bank after the March drawing?
USD75,000.
If the bank was closed on 10 June due to a national holiday, what would be the consequence for the presented documents?
The documents are discrepant.
What would be a discrepancy in the presented documents?
Commercial invoice dated 11 June.
What is the purpose of a revolving documentary credit?
To allow for multiple shipments.
What is the effect of the cumulative revolving documentary credit?
Replenishes the credit amount.
Which information must be stated on the bill of lading to comply with the credit terms?
The name and address of the carrier’s agent at the port of discharge
Who must agree in order to amend or cancel an irrevocable confirmed documentary credit?
Beneficiary, confirming bank, and issuing bank only
Which option describes the location requirement for the carrier’s agent as per the document?
Must be located at the port of discharge
What is the minimum percentage of insurance needed for a transferable credit to meet the original documentary credit value?
116%
Which drafts would comply with the given specifications?
1 and 3 only
If a confirming bank receives a documentary credit with the condition 'carrying vessel must not be older than 15 years', what is the confirming bank's responsibility?
Verify the vessel's age
What does not constitute partial shipment?
A single courier receipt evidencing receipt of a single package
What is acceptable according to UCP 600?
An insurance policy covering shipment period
Which document is not necessarily signed?
Weight specification
What is a characteristic of partial shipment?
Multiple shipments from the same place to the same destination
What is required for an insurance policy under UCP 600?
The policy must cover the entire shipment period
What is the minimum amount of sports cars the buyer can import per month without being subject to import duties?
100
If the buyer imports more than 100 cars in a month, what may be imposed?
Import duties
Which of the following shipment schedules would result in the buyer facing import duties?
D 100 cars at the beginning of January, 100 cars at the beginning of February, 100 cars at the beginning of March.
Which of the following would be an acceptable shipment under the given documentary credit?
Place of receipt: Busan, Port of loading: Osaka, Port of discharge: Hamburg, Final destination: Southampton
What would be considered an unacceptable shipment schedule for protecting the buyer from import duties?
50 cars at the beginning of January, 150 cars at the middle of February, 100 cars at the end of March
Which of the following ports would be considered acceptable for loading under the given terms of the documentary credit?
Osaka
In the context of insurance requirements, which statement is correct?
An insurance document stating that risks have been excluded is not acceptable.
Which statement regarding the documentary credit amount is accurate?
The documentary credit amount is subject to a 5% tolerance.
Regarding the confirmation commission, what is true?
The confirmation commission is entirely for the beneficiary's benefit.
Which statement accurately represents the drawee requirement in relation to a confirming bank?
The drawee requirement is consistent with the role of a confirming bank.
Which statement is true regarding the period for presentation of documents?
The period for presentation of documents can vary based on the issuing bank's discretion.
What does an insurance document need to show according to the text?
Claims payable in Brazilian currency.
Test your knowledge on partial shipment scenarios for goods shipped from one place to another. Identify which situations do NOT constitute partial shipment based on the provided options.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
