In a Shipment Contract, What Is F

question 37

Multiple Choice

In a shipment contract, what is F.A.S. (free alongside ship) ?

• A) The contract price, which includes, in a lump sum the cost of the goods and the insurance and freight to the named destination.
• B) The seller's obligation is to, at his expense and risk, deliver the goods adjacent to the vessel in the manner usual in that port and to provide the buyer with pickup instructions.
• C) The seller's obligation is to, at his own expense and risk, transport the goods to that place and there tender delivery of them with appropriate pickup instructions to the buyer.
• D) The seller must properly ship conforming goods and if they arrive by any means he must tender them on arrival but he assumes no obligation that the goods will arrive unless he has caused the non-arrival.
• E) The seller's obligation is to put the goods into the possession of a carrier and make a reasonable contract for their transportation, to deliver any necessary documents so the buyer can take possession, and promptly notify the buyer of the shipment.

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Definitions:

Indifference Curves

Graphical representations in economics that show different bundles of goods between which a consumer is indifferent, meaning the consumer has no preference for one bundle over another.

Characteristics

describe the distinct features or qualities that help in identifying, defining, or classifying subjects, objects, or concepts.

Utility-Maximizing Rule

An economic principle that states individuals allocate their income in a way that maximizes their total utility, based on the marginal utility per unit of price for goods or services.

Algebra

A branch of mathematics that deals with symbols and the rules for manipulating these symbols, representing quantities and expressing mathematical relationships.