Trade
Answer in one sentence.
1. Write the full form of WTO and GATT.
Ans: WTO= World Trade Organization
GATT= General Agreement on Tariffs and Trade
2. Write the full forms of SAPTA and SAFTA.
Ans: SAPTA= South Asian Preferential Trade Agreement
SAFTA= South Asian Free Trade Area
3. Why LC is extensively used as means of payment in foreign trade?
Ans: LC letter is extensively used as means of payment in foreign trade because it is the guarantee of domestic bank of local businessman to the foreign bank to pay the value of goods imported by local businessman.
4. What is Franco invoice?
Ans: The invoice which is prepared including all the expenditures along with cost price is called Franco invoice.
5. What is LOCO Invoice?
Ans: The invoice which includes only the cost price of the seller is called LOCO invoice.
6. What is FOB Invoice?
Ans: The invoice which is prepared exempting the expenses upto ship board is called FOB invoice.
7. What is C and F Invoice?
Ans: Invoice which is prepared mentioning all the expenses expect the insurance premium is known as the cost and freight invoice.
8. What is CIF Invoice?
Ans: Invoice which is drawn including all the expenses along with insurance premium is known as CIF invoice.
9. What is letter of credit?
Ans: LC letter is the system of providing guarantee to the exporter by the importer in international trade.
10. What is cheque?
Ans: cheque is an order given by the client to the bank for the payment of written amount to the person whose name is specified in the cheque.
11. State any two terms general used in foreign trade.
Ans: Any two terms generally used in foreign trade are listed below.
1. Types of goods.
2. Insurance
12. Show the types of home trade.
Ans: Types of home trade are
1. Wholesale trade
2. Retail trade
13. What is bill of lading?
Ans: A letter including the details of goods is given to the shipping company which is known as the bill of lading.
14. Write the full form of SWIFT.
Ans:
15. Write the fullforms of LC and ATM.
Ans: The full form of LC and ATM are
LC= Letter of Credit
ATM= Automated Teller Machine
16. State the procedure of home trade.
Ans: The procedure of home trade are:
1. Enquiry about the goods
2. Supply of Quotation
3. Order Letter
4. Letter of Acknowledgement
5. Collection of Goods
6. Packing of Goods
7. Preparation of Invoice
8. Dispatch of Goods
9. Receipt of goods
10. Carriage of goods
17. Write any four means of payment.
Ans: The four means of payment are:
1. Cheque
2. 2. Bank draft
3. 3. Hundi
4. ATM
18. State the types of invoice.
Ans: The types of invoice are:
1. Loco invoice
2. Free on Board Invoice ( F.O.B )
3. Cost and Freight Invoice ( C.I.F. Invoice )
4. Cost, Insurance and Freight Invoice ( C.I.F. Invoice )
5. Franco Invoice
19. State any four information which are used while preparing invoice.
Ans: Any four information which are used while preparing invoice are:
1. Name and address of seller or exporter.
2. Invoice No. and date of export.
3. The quantity or number of goods, name of the ship, name of ports in the sea route etc. and the name and address of importer.
4. The number of indent is mentioned in bold letter just below the heading.
20. Who sends quotation letter to whom in foreign trade?
Ans: exporter sends quotation letter to the importer in foreign trade.
21. Write any two means of payment.
Ans: Two means of payment are LC letter and ATM card.
22. Write the full form of CIF invoice.
Ans: The full form of CIF is Cost, Insurance and Freight Invoice
1. Write the full form of WTO and GATT.
Ans: WTO= World Trade Organization
GATT= General Agreement on Tariffs and Trade
2. Write the full forms of SAPTA and SAFTA.
Ans: SAPTA= South Asian Preferential Trade Agreement
SAFTA= South Asian Free Trade Area
3. Why LC is extensively used as means of payment in foreign trade?
Ans: LC letter is extensively used as means of payment in foreign trade because it is the guarantee of domestic bank of local businessman to the foreign bank to pay the value of goods imported by local businessman.
4. What is Franco invoice?
Ans: The invoice which is prepared including all the expenditures along with cost price is called Franco invoice.
5. What is LOCO Invoice?
Ans: The invoice which includes only the cost price of the seller is called LOCO invoice.
6. What is FOB Invoice?
Ans: The invoice which is prepared exempting the expenses upto ship board is called FOB invoice.
7. What is C and F Invoice?
Ans: Invoice which is prepared mentioning all the expenses expect the insurance premium is known as the cost and freight invoice.
8. What is CIF Invoice?
Ans: Invoice which is drawn including all the expenses along with insurance premium is known as CIF invoice.
9. What is letter of credit?
Ans: LC letter is the system of providing guarantee to the exporter by the importer in international trade.
10. What is cheque?
Ans: cheque is an order given by the client to the bank for the payment of written amount to the person whose name is specified in the cheque.
11. State any two terms general used in foreign trade.
Ans: Any two terms generally used in foreign trade are listed below.
1. Types of goods.
2. Insurance
12. Show the types of home trade.
Ans: Types of home trade are
1. Wholesale trade
2. Retail trade
13. What is bill of lading?
Ans: A letter including the details of goods is given to the shipping company which is known as the bill of lading.
14. Write the full form of SWIFT.
Ans:
15. Write the fullforms of LC and ATM.
Ans: The full form of LC and ATM are
LC= Letter of Credit
ATM= Automated Teller Machine
16. State the procedure of home trade.
Ans: The procedure of home trade are:
1. Enquiry about the goods
2. Supply of Quotation
3. Order Letter
4. Letter of Acknowledgement
5. Collection of Goods
6. Packing of Goods
7. Preparation of Invoice
8. Dispatch of Goods
9. Receipt of goods
10. Carriage of goods
17. Write any four means of payment.
Ans: The four means of payment are:
1. Cheque
2. 2. Bank draft
3. 3. Hundi
4. ATM
18. State the types of invoice.
Ans: The types of invoice are:
1. Loco invoice
2. Free on Board Invoice ( F.O.B )
3. Cost and Freight Invoice ( C.I.F. Invoice )
4. Cost, Insurance and Freight Invoice ( C.I.F. Invoice )
5. Franco Invoice
19. State any four information which are used while preparing invoice.
Ans: Any four information which are used while preparing invoice are:
1. Name and address of seller or exporter.
2. Invoice No. and date of export.
3. The quantity or number of goods, name of the ship, name of ports in the sea route etc. and the name and address of importer.
4. The number of indent is mentioned in bold letter just below the heading.
20. Who sends quotation letter to whom in foreign trade?
Ans: exporter sends quotation letter to the importer in foreign trade.
21. Write any two means of payment.
Ans: Two means of payment are LC letter and ATM card.
22. Write the full form of CIF invoice.
Ans: The full form of CIF is Cost, Insurance and Freight Invoice
