Which of the Following Is a Way That a Company

question 35

Multiple Choice

Which of the following is a way that a company can lower costs by shipping unassembled goods to an FTZ in an importing country?

• A)reduce total shipment quantity count by reassembling goods onboard ocean vessel to reduce ocean transportation rates.
• B)declare components as obsolete inventory with no market value to lower import duties.
• C)ocean transportation rates are affected by weight and volume;unassembled goods may qualify for lower freight rates.
• D)ship smaller components by air carrier and larger components by ocean freight to reduce overall transportation costs.
• E)have components manufactured in several countries and ship directly to distributor for assembly to lower manufacturing costs.

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