BGF
College of International Business & Management
A
International Trade
Sample Test
Name:……………………………
Score: ………..……………...
Please study with care the followings before solving the tasks!
 No corrections or modification of the original answer can be accepted;
 There are simple (one good answer) and multiple choice tasks (more than
one good question) that should be marked.
 There are sentences that should be completed by the right word or words;
 Each question gets 5 points; The total score is 100 points.
1. Please define the following terms:
a. Offer sufficiently defined:
b. Title to the goods:
c. General Average:
d. Acting in good faith:
e. Course of performance:
2.Please define 5 risks of a counter-trade agreement:
a. ……………………………………..
b. ……………………………………..
c. ……………………………………..
d. ……………………………………..
e. ……………………………………..
3.What kind of transaction is it about? The parties have defined 50% of the purchase
price in a certain currency, and the outstanding 50% in value of certain goods that
are to be delivered in exchange for.
a. Barter;
b. Buy-back;
c. Counter-purchase;
d. Re-export;
e. Compensation;
4. Please define the duty of a sale representative:
a. He/She has to find new export or import markets for its principal for his/her own
costs;
b. He/She may sell or purchase goods on behalf of and for the account of
his/her principal;
c. He/She has to take the full responsibility for the commodity sold;
d. He/she makes generally all promotion works for the account of his principle;
e. He/She gets always fee on commission basis for its performance;
5. A stockist agent operates a “consignment warehouse”. In this case
a. The goods which can be found there, belong to property of the principal;
b. The goods which can be found there, belong to the agent;
c. The agent has to take the goods in insurance cover for its own costs;
d. The operation costs of the warehouse have to be borne by the principle;
e. The agent steps not only into the possession but into the property rights of the
goods;
6. The usage is:
a. mandatory international regulations;
b. the written form of trade practices of merchants;
c. their provisions are mandatory, if parties have agreed upon the use of them;
d. they are “model-contracts”;
e. their rules come into being, when governments have ratified them;
7. The confidentiality clause in a contract of distributorship:
a. This clause obliges the customers whom the distributor has contracted;
b. The price of the contracts concluded by the distributor can be kept in secret
before the principal;
c. This clause does relate to all data of the customers of the distributor;
d. The mark-up earned by the distributor;
e. The marketing strategy of the principal must not be revealed by the distributor;
8. The Export Management house’s duty is:
a. to find and conquer new export or import markets;
b. to sell or purchase goods on behalf of and for the account of his/her principal;
c. to take the full responsibility for the commodity towards the foreign customer;
d. to do generally all clerical (administrative) works in order to perform the deal;
e. to conclude the foreign contract on the behalf of his own but for the risk of
the domestic principal;
9. Please define the type of risk:
a. The buyer does not pay the value of the goods at all:……………………………..
b. The seller does not deliver the goods:…………………………………………………..
c. The seller delivers in late:…………………………………………………………………..
d. The goods do not meet all agreed requirements:……………………………………
e. The buyer has to pay, although the goods arrive in a damaged
condition:………………
10. Please define the type of the intermediary:
a. He acts on his own behalf, but for the account of the principal:………………….
b. He acts on his own behalf, for its own account and at his own risk:………………
c. He acts on the behalf and for the account of his principal:………………………...
d. He earns his revenue from a price difference in markets:……………………………
e. He gets a fixed salary for the “preparation of the market” and thereafter a
commission fee:………..
11. Please define True or False!
The responsibility of a carrier originating from an Ocean Bill of Lading:
T/F
The carrier is obliged to discharge the goods to a person who has even one
set of the B/L;
T/F
The carrier may not question the property right of a person who holds the B/L if
it has been blank endorsed;
T/F
The carrier may discharge the goods to a holder, if the Bill of Lading is issued to
the order of a specified person;
T/F
The carrier may discharge the goods to Mr. Steven and to any other holder in
due course, if the Bill of Lading has been endorsed in blank;
T/F
The carrier has to take the responsibility for all potential damages and losses
during the transportation;
12. Whose duty is the following? B=Buyer S=Seller
a. To finance all costs of documents attached to the goods for
transportation;…….
b. To transfer the title of the goods;……….
c. To commit a bank to transfer the money;…………
d. To act in any phase of the co-operation in good faith;……………
e. To give a specification regarding to the quality and quantity of goods to be
manufactured;……
13. An Ocean Port-to-Port Bill of Lading, which includes positive remarks:
a. It is not a document of title;
b. It is a contract of transportation;
c. It must be signed by the forwarding agent;
d. It will be considered as an unclean document;
e. It refers to quality problems of the goods;
14. The merchantable quality means:
a. the quality of the goods must meet the contractual requirements;
b. the quality of the goods must have the criteria as the goods of the same
purpose;
c. the quality of the goods must have the criteria as the goods of the same
origin;
d. the quality of the goods must have the criteria as the like goods of the same
price;
e. the quality of the goods must meet what the buyer expects;
15. Please define the documents of title:
a. Certificate of origin;
b. CMR way bill;
c. Certificate of Quality inspection;
d. Booking Note;
e. Ocean bill of Lading;
16. The contracting parties have concluded a deal for 1000 kilos fresh strawberry. The
wholesaler has made it clear that the goods should arrive at the wholesalermarketplace on the agreed day latest to 03:00 am. The seller was in delay and
arrived at 03:30 am.
a. What kind of transaction was it about?.....................................................................
b. What kind of breach has the seller made?...............................................................
What are the remedies the purchaser can claim for?
c. ………………………………………….
d. ………………………………………….
e. ………………………………………….
17. In an import deal the purchaser has received an offer which contains the
following terms: type of the goods as to catalogue; the quantity of the goods; the
price as 100 Dollars/piece; the time of delivery. What conditions are missing?
a. ………………………………………….
b. ………………………………………….
c. ………………………………………….
d. ………………………………………….
e. ………………………………………….
18. It is about an export-management house that is working upon the appointment of
the domestic manufacturer. The parties have agreed upon the limit price of the
goods for an export deal: USD 100,-/pcs. The parties have fixed the commission fee in
5% and the premium of the export management house: 30%. The actual price of the
sale that the management house has achieved was USD 150,-/pcs. The quantity
sold: 10.000 pcs. How much money has the export-management company has
earned?.....................................................................................................................................
19.What kind of transaction is it about? The parties have defined 50% of the purchase
price of an industrial asset in a certain currency, and the outstanding 50% in certain
goods to be produced by this this equipment.
a. Barter;
b. Buy-back;
c. Counter-purchase;
d. Re-export;
e. Compensation;
20. What is true for the international contract of sale?
a. It is an agreement of parties having same interests;
b. it is an compromise of parties having conflicting interest;
c. there is an international Convention in this field in order to reduce the legal
risks originating from the difference in legal families;
d. it must be set into written form in order to be valid;
e. the parties are free to define all terms and conditions of it;