If an Item Purchased Under FOB Origin Terms Is Damaged

question 76

Multiple Choice

If an item purchased under FOB origin terms is damaged in transit,against whom should the purchaser file its damage claim?

• A) against the manufacturer
• B) against the common carrier
• C) against all of the supply chain members
• D) against the buyer
• E) no damage claim may be filed

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Definitions:

Complements

Goods that are often used together where an increase in the demand for one leads to an increase in the demand for the other.

Quantity Demanded

The specific amount of a good or service that consumers are willing and able to buy at a given price within a certain period of time.

Price Decrease

A reduction in the cost of goods or services, which can affect demand, supply, and economic equilibrium.

Determinant

A factor or condition that decisively affects the nature or outcome of something, often used in economics to discuss variables impacting demand, supply, or price.