What Does the "I" Mean in the Shipping Term CIF

question 23

Multiple Choice

What does the "I" mean in the shipping term CIF?

• A) Indemnity
• B) Insurance
• C) Indirect
• D) Import
• E) Intentional

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Definitions:

Operating Expenses

The ongoing costs for running a business that are not directly tied to the production of goods or services, such as rent, utilities, and salaries.

Indirect Method

A way of preparing the cash flow statement where net income is adjusted for non-cash transactions, deferrals, and accruals to calculate cash flow from operating activities.

Sale of Equipment

a transaction where a business disposes of machinery or equipment, typically recorded as an incoming cash flow or gain/loss in financial statements.

IFRS

International Financial Reporting Standards, which are a set of accounting standards developed by the International Accounting Standards Board (IASB) that serve as a global framework for financial statements.