CSCP L4 Exam

Which of the following statements is INCORRECT regarding the Customs clearance process for export?

Which could NOT be the solution from Systematic Network Planning (SNP)

How to reduce LC Amendment Charge

which Capacity Investment Strategy is Hedging Strategy ?

ConnectAll (CA) is one of the world’s leading online retailers. The market is highly competitive. It has 200 million customers worldwide.  Its customer and supply markets span more than 70 different countries across all continents. Each territory has its own dedicated online channel with pricing denominated in the domestic currency.  Products are purchased in either USD or EUR.

CA has thousands of suppliers and applies predefined and widely accepted commercial terms relating to logistics costs, risks and the responsibilities of all parties.

CA outsources distribution to consumers. From the customer’s perspective this is a crucial stage in the service cycle as it represents final fulfilment of the order. However, CA recognises that at peak times there are no alternative distribution options. So, if, for example, a major supplier was unable to meet its contractual obligations, CA would have problems delivering products to customers.

Like most online retailers, CA has a high percentage of returns (generally between 10-20%, but can be higher). Most consumers are happy to send their unwanted products back to CA. Although the process is unclear and inconsistent and so is not without issues. This is currently the subject of a special project with the aiming of resolving the issue. Currently most returns are simply thrown away by CA. Research suggests that the majority of returns are actually just unwanted by the buyer and not faulty, but the packaging is damaged.

Which of the following is most likely to be a priority for CA given its operating model?

Which container contains these shape: L- 45’  x  W- 8’  x  H- 9’6”

to prevent shifting cargo  container which is used?

To pile up, store and assemble goods which of the following is used?

Logistics defined as

Which of the following statements relating to the insurance requirements, as specified, are correct?
1. An insurance certificate would be acceptable in lieu of an insurance policy.
2. An insurance document stating that certain risks had been excluded may be acceptable.
3. The insurance document will need to show claims, if any, payable in Brazilian currency.

4. Insurance cover to a minimum of 110% of the invoice value would be acceptable.

Which of the following cost increases faster than other modes as distance increases ?

loose-packaged cargo are carried by..

A seller has entered into a contract with an overseas buyer to ship goods on CPT basis. Shipment will be made from the seller’s warehouse to port by trucks and from the port to buyer’s country by sea. Seller will use two different carriers (one for road and another for sea) to effect the shipment. Which of the following statements is correct?

1. Seller must pay the freight charges of the first carrier only.
2. Seller must pay the freight charges of both carriers.
3. Risk of loss / damage during voyage is transferred to the buyer when seller delivers the goods to the first carrier.
4. Risk of loss / damage during voyage is transferred to the buyer when the goods are delivered to the second carrier by the first carrier.

Which of the following answer is correct:

 Your beneficiary client presented documents under an LC available with any bank by negotiation. The documents were found compliant but the beneficiary did not require negotiation of documents. Documents were lost in transit (on the way to the issuing bank.)    Which of the following is TRUE.

ConnectAll (CA) is one of the world’s leading online retailers. The market is highly competitive. It has 200 million customers worldwide.  Its customer and supply markets span more than 70 different countries across all continents. Each territory has its own dedicated online channel with pricing denominated in the domestic currency.  Products are purchased in either USD or EUR.

CA has thousands of suppliers and applies predefined and widely accepted commercial terms relating to logistics costs, risks and the responsibilities of all parties.

CA outsources distribution to consumers. From the customer’s perspective this is a crucial stage in the service cycle as it represents final fulfilment of the order. However, CA recognises that at peak times there are no alternative distribution options. So, if, for example, a major supplier was unable to meet its contractual obligations, CA would have problems delivering products to customers.

Like most online retailers, CA has a high percentage of returns (generally between 10-20%, but can be higher). Most consumers are happy to send their unwanted products back to CA. Although the process is unclear and inconsistent and so is not without issues. This is currently the subject of a special project with the aiming of resolving the issue. Currently most returns are simply thrown away by CA. Research suggests that the majority of returns are actually just unwanted by the buyer and not faulty, but the packaging is damaged.

On the basis of the research, which of the following might CA consider as an alternative to disposal?

ConnectAll (CA) is one of the world’s leading online retailers. The market is highly competitive. It has 200 million customers worldwide.  Its customer and supply markets span more than 70 different countries across all continents. Each territory has its own dedicated online channel with pricing denominated in the domestic currency.  Products are purchased in either USD or EUR.

CA has thousands of suppliers and applies predefined and widely accepted commercial terms relating to logistics costs, risks and the responsibilities of all parties.

CA outsources distribution to consumers. From the customer’s perspective this is a crucial stage in the service cycle as it represents final fulfilment of the order. However, CA recognises that at peak times there are no alternative distribution options. So, if, for example, a major supplier was unable to meet its contractual obligations, CA would have problems delivering products to customers.

Like most online retailers, CA has a high percentage of returns (generally between 10-20%, but can be higher). Most consumers are happy to send their unwanted products back to CA. Although the process is unclear and inconsistent and so is not without issues. This is currently the subject of a special project with the aiming of resolving the issue. Currently most returns are simply thrown away by CA. Research suggests that the majority of returns are actually just unwanted by the buyer and not faulty, but the packaging is damaged.

CA is most likely to be applying which of the following?

Which of following do not go with Break Bulk cargo ?

Broker Handover (BHO) document is used for:

) Which of the following has AV+ CD+ RD +SD  included?

Mr. Karim, a Bangladeshi entrepreneur, was expanding his business and needed to store a large quantity of imported raw materials before they were processed and exported. He decided to rent a bonded warehouse to avoid paying customs duties and taxes until the goods were re-exported.

However, Karim was unsure which type of bonded warehouse would be most suitable for his needs. He considered the following options:

After careful consideration, Karim decided to rent a General Bonded Warehouse. He believed that this type of warehouse would offer him the flexibility he needed to store his raw materials and process them at his own pace.

However, as Karim began to use the bonded warehouse, he noticed some unusual activity. There were signs that some of the goods were being diverted for domestic consumption, which was not allowed under the Deemed Export/General Bonded Warehouse regulations. Karim was concerned that this could lead to serious legal consequences.

Feeling uneasy, Karim decided to investigate further. He contacted the customs authorities and informed them of his suspicions. The customs officials promised to look into the matter. As Karim waited for their findings, he couldn't help but wonder if he had made the right choice in selecting a Deemed Export/General Bonded Warehouse.

Which of the following is right warehouse for Mr. Karim?

Alex was overseeing the daily operations. The orders were piling up, and time was running out. One of the teams, tasked with organizing cargo for a long-haul overseas shipment, received a message: "Palletize your cargo." Simple enough, Alex thought.

But the day took an unexpected turn when multiple pallets began arriving at the loading dock in disarray—boxes skewed, some loosely packed, others packed too tightly. Confused, Alex called the team responsible. “Didn’t you get the instructions? The cargo has to be palletized!”

The team leader sighed in frustration. “We did! But... there wasn’t anything about the spacing or arrangement. We did our best with the information we got.”

In the rush, the documents accompanying the shipment were incomplete, leaving no clear guidelines on how the cargo should be properly stacked. Alex hurriedly tried to piece together the paperwork, but it was already too late. The shipper called back, "We can't load this. The pallets are all over the place."  Which is the main issue?

Mr. Ahmed, a seasoned importer from Bangladesh, was facing a peculiar challenge. His latest shipment of electronic components from China had been detained at the customs port for weeks. Despite providing all the necessary documents, including the Bill of Entry, commercial invoice, and packing list, the customs authorities seemed hesitant to release the goods.

Ahmed was perplexed. He had imported similar items numerous times before without any issues. He contacted his customs broker, who assured him that everything was in order. Yet, the delay persisted.

To resolve the issue, Ahmed decided to visit the customs port personally. After several days of negotiations and inspections, the customs authorities finally released the shipment. However, they did not provide a clear explanation for the initial delay.

As Ahmed left the port with his long-awaited cargo, he couldn't shake the feeling that something wasn't quite right. He knew he would need to investigate further to prevent similar problems in the future. What is the issue here?

In the Traveling Salesman Problem (TSP), the goal is to find the shortest possible route that

A major shipment of food supplies was headed to a distant port, but something about the day felt off. Dark clouds loomed overhead, signaling a storm on the way, and a report had just come in about an insect infestation found in nearby warehouses.

Luis hurriedly reviewed the situation: the cargo was vulnerable. The grains, spices, and perishables could be ruined either by moisture from the impending storm or by insects that might infiltrate during transit. Time was slipping away, and decisions had to be made fast.

One of his workers suggested covering the crates with heavy-duty tarps to shield them from the rain. Another proposed increasing the fumigation inside the ship’s cargo hold to prevent any potential infestation. A third team member mentioned re-routing the ship to avoid the worst part of the storm. Meanwhile, there was talk of using air-tight packaging to ensure both the cargo’s safety from bugs and weather.

As the wind began to howl and the first drops of rain fell, Luis stood frozen. Each option seemed viable, each with its own risk. But as the crew scrambled to prepare, something still felt... off. Was the infestation the real danger, or was it the storm? Perhaps the delayed route would cause the biggest issue, leading to spoilage. Or maybe it was something simpler—the unnoticed crates that hadn't been sealed in time.

What would be the best solution to protect the shipment?

Container Seal contains

Which document is used as proof they have complied with the consignee’s instructions?

Which of the following cost is not perceived often times during transport costing?

Which of the following is market related factor?

How to reduce Import Customs Tariff

Which is unique in B/L than Packing list ?

The importance of reverse logistics has gained increased prominence in recent years due directly to which of the following benefits associated with waste reduction?

1.Economic benefits.

2.Competitive benefits.

3.Environmental benefits.

4.Endconsumer benefits.

Bank C confirmed an LC issued by Bank I. The credit was available by drafts drawn on the confirming bank at "30 days sight" The beneficiary presented credit compliant documents to Bank C for negotiation.

Which of the following actions by Bank C is as per UCP?

A documentary credit advised to a beneficiary and payable at sight calls for documents to include an invoice made out in the name of the applicant. Documents presented to the negotiating bank by the beneficiary include a customs invoice but no commercial invoice. All other terms and conditions have been met. What action should the negotiating bank take?

An increase in product returns can be directly caused by which of the following? 

Which of the following used for “Grains” Shipping mostly?

Which of the following documents is NOT required for the import of electronic goods from China?

Which of the following statements accurately describes the key difference between Reorder Point (ROP), Economic Order Quantity (EOQ), Base Stock, and Distribution Requirements Planning (DRP)?

With increasing consumer spending online, major retail businesses are finding it difficult to control costs and manage administration in respect of customer returns. Customer satisfaction will be severely impacted if customers are kept waiting too long for replacement items and inconvenienced by the need for them to arrange shipment of the faulty goods. Which of the following is the best solution?

Which of the following is the content of Packing list?

Which of following is a must difference in Pro forma Invoice than Purchase Order?

Which of the following is Network design factor

. A leading e-commerce company, E-Mart, was facing a growing challenge: the rising costs of reverse logistics. Returns, exchanges, and product recalls were eating into their profits. The company's logistics team was tasked with finding a solution.

After careful analysis, E-Mart decided to focus on improving their product quality control and packaging. They believed these measures would have the most significant impact on reducing returns and exchanges.

However, even with these improvements, the company's reverse logistics costs continued to rise. The logistics team was baffled. They had implemented the most promising solutions, yet the problem persisted.

As E-Mart continued to grapple with this issue, they realized that the root cause might lie elsewhere. Perhaps it was a combination of factors, or perhaps there was a hidden problem they hadn't considered. The company knew they would need to delve deeper into their operations to find a lasting solution. Which could be solution?

Bill of Lading is a 

Utilization Permission (UP)  is

which of the following Low-cost facility for global production

Which of the following takes responsibility to communicate with necessary parties and authorities ?

Which of the following best describes a Sea Waybill (SWB)?

Which of the following insurance is not for Shipper?

John is preparing a shipment for export and needs to ensure that the freight forwarder has all the correct details for the cargo, the transportation arrangements, and the necessary documentation. He wants to make sure that all instructions regarding the shipment are clearly communicated, including how to handle the cargo and how to complete the export documents. Which of the following documents would John use to communicate these instructions to the freight forwarder?

Design of transportation facilities is which type of decision?

Which is common cost for all types of transport?

A credit requires an 'invoice' without further definition. Which of the following MUST be considered a discrepancy? An invoice:

What is the primary purpose of the EXP form in the export process?

road haulage and passenger vehicles are carried by..

voyage or trip that follows a set schedule and route

What is the primary purpose of the BDS standard in the import process?

Which of the following does not include in Landed cost?

Difference between house BL and Master BL

How to reduce Documentation Cost

Which of the following document directs the recipient to pay a fixed sum of money to a third party at a future date.

For protecting light sensitive cargo,

The triple bottom line has influenced reverse logistics because of it has encouraged organistaions to prioritise use of resources on increasing profit margins whilst satisfying customer needs.  Is this correct?

Which of the following is not the way to reduce Shipping Demurrage Charge ?

Alex is exporting goods from her country and needs to ensure that the importing country’s customs authorities are aware of the origin of her products, as they might qualify for lower tariffs under a trade agreement. To do so, he must provide a specific document that certifies the country in which the goods were produced or manufactured. Which document should alex use?

Due to time-sensitiveness of orders which of following strategy could not be used?

A large container of luxury goods—watches, jewelry, and electronics—was set to sail the next morning.
Suddenly a call came: saying “Some suspicious activity was spotted near the storage area last night,” the voice on the phone reported. "Could be nothing, but we need to keep an eye out." Also, the vessel’s engine had been acting up during its last trip. The mechanics assured her it was a minor issue, but with valuable cargo on board, a mechanical breakdown in the middle of the ocean would be disastrous. Also Strong winds and rough seas are forecasted for next day.

As the night deepened, Sofia knew she had to make a decision, but which one? Should they take extra security measures, inspect the engine again, or wait out the storm? Or was it something else entirely, like the ship’s unfamiliar new route through pirate-prone waters, that she had missed?

What would be the best solution to protect the shipment?

In Commercial Document Buyer is

Which following Alliances does not facilitate?

Which of the following statements is INCORRECT regarding the Customs clearance process for import?

In Clark's Write-Savings Model, which of the following factors is NOT considered when determining potential savings from facility closures or consolidations?

EXP form should be certified by

“Peril” is defined as ….?

Which of the following is the main difference between transport documents and commercial documents?

Which of the following is NOT a service factor for Transport

ConnectAll (CA) is one of the world’s leading online retailers. The market is highly competitive. It has 200 million customers worldwide.  Its customer and supply markets span more than 70 different countries across all continents. Each territory has its own dedicated online channel with pricing denominated in the domestic currency.  Products are purchased in either USD or EUR.

CA has thousands of suppliers and applies predefined and widely accepted commercial terms relating to logistics costs, risks and the responsibilities of all parties.

CA outsources distribution to consumers. From the customer’s perspective this is a crucial stage in the service cycle as it represents final fulfilment of the order. However, CA recognises that at peak times there are no alternative distribution options. So, if, for example, a major supplier was unable to meet its contractual obligations, CA would have problems delivering products to customers.

Like most online retailers, CA has a high percentage of returns (generally between 10-20%, but can be higher). Most consumers are happy to send their unwanted products back to CA. Although the process is unclear and inconsistent and so is not without issues. This is currently the subject of a special project with the aiming of resolving the issue. Currently most returns are simply thrown away by CA. Research suggests that the majority of returns are actually just unwanted by the buyer and not faulty, but the packaging is damaged.

Which of the following is most likely to be the recommendation of the special project team?

Which of the following has AV+ CD+ RD included?

James, a freight forwarder, is organizing a shipment for his client. Since this is a consolidated shipment, he needs to issue two different types of bills of lading. One is for the overall shipment from the carrier, and the other is for each individual shipment belonging to the different clients. Which of the following correctly identifies the documents he will use?

Which of the following is false for a Bill of Exchange ?

Forwarder termed as

 Documents under a documentary credit, tendered at the counters of confirming bank are mistakenly found compliant. The confirming paid to the beneficiary and forwarded the docs to the issuing bank. The discrepant documents were also found to comply with credit terms mistakenly by the issuing bank too. But the applicant refused to accept the discrepant documents. In this case, which of the following statement is correct?

To package Wool, cotton, and wood pulp which of the following packaging is used?

Bank C confirmed an LC issued by Bank I. The credit was available by drafts drawn on the confirming bank at "30 days sight" The beneficiary presented credit compliant documents to Bank C for negotiation.

Which of the following actions by Bank C is as per UCP?

Which is External Rates of transportation?

If Cartons may contain different SKU from different factories which is used?

Which of the following is NOT a typical input for Distribution Requirements Planning (DRP)?

Which of the following documents is NOT commonly required for both Utilization Declaration (UD) and Utilization Permission (UP)?

A documentary credit for USD 150,000 calls for a full set of bills of lading and an insurance certificate to cover all risks. The bill of lading presented indicates an on board date of 15 December. Which of the following insurance documents are acceptable?

1. Policy for USD 185,000.
2. Certificate dated 17 December.
3. Declaration signed by a broker.
4. Certificate subject to a franchise.

Documents under a documentary credit, tendered at the counters of confirming bank are mistakenly found compliant. The confirming paid to the beneficiary and forwarded the docs to the issuing bank. The discrepant documents were also found to comply with credit terms mistakenly by the issuing bank too. But the applicant refused to accept the discrepant documents. In this case, which of the following statement is correct?

Inconsistency in Documents will be regarded in accordance with UCP 600 demands presentation of documents which of the following

Local Manufacturing Company (LMC) has one factory.  All of its suppliers and customers are based in the same country, so it has been trading since formation in just its domestic currency.  LMC has made the decision to launch its products in a new international territory, which has its own (and different) currency.  This will generate currency inflows for LMC for the first time.  To support this expansion, LMC is planning to establish operations infrastructure in the country of its new customers and will need to fund this investment.  The LMC board is concered about minimising the impact of currency exposure.  Which of the following would be the most useful for LMC to consider in this respect? 

1. Currency account. 2. Currency contract.
   3. Currency futures.        4. Currency loan.

In HS code, which of the following indicate product condition?

Which of following does not include in 7 point container checking list

Shipper’s Letter of Instruction does not include..

ConnectAll (CA) is one of the world’s leading online retailers. The market is highly competitive. It has 200 million customers worldwide.  Its customer and supply markets span more than 70 different countries across all continents. Each territory has its own dedicated online channel with pricing denominated in the domestic currency.  Products are purchased in either USD or EUR.

CA has thousands of suppliers and applies predefined and widely accepted commercial terms relating to logistics costs, risks and the responsibilities of all parties.

CA outsources distribution to consumers. From the customer’s perspective this is a crucial stage in the service cycle as it represents final fulfilment of the order. However, CA recognises that at peak times there are no alternative distribution options. So, if, for example, a major supplier was unable to meet its contractual obligations, CA would have problems delivering products to customers.

Like most online retailers, CA has a high percentage of returns (generally between 10-20%, but can be higher). Most consumers are happy to send their unwanted products back to CA. Although the process is unclear and inconsistent and so is not without issues. This is currently the subject of a special project with the aiming of resolving the issue. Currently most returns are simply thrown away by CA. Research suggests that the majority of returns are actually just unwanted by the buyer and not faulty, but the packaging is damaged.

 Which of the following is a major risk for CA's distribution?

You are importing an exclusive cargo of raw materials for medicine products. You organization decided to book and marine insurance. Which one you would follow?

How to stop drainage of funds during transport ?

Which is alternative use to Wooden Pallets?

Last Mile Transportation is…..

Which of the following is a method of short-term financing provided by banks. The bank purchases a trade bill from the payee before the maturity date and pays the bill amount after deducting service charges from it. At the maturity of the bill, the bank recovers the said money from the drawe