6 - Zagreb Inc., a transnational energy company, negotiates a multimillion-

dollar contract with the government to provide electricity to Pilladia in Italy.

Which type of incoterm must be used for that operation.

A) Ex-work

B) FOB

C) CIF

D) None of them

7 - Who must pay for international sea transportation in the case of FOB

operations?

A) The buyer

B) The seller

C) the custom agent

D) None of them

8 - Who must pay for insurance in a DDP operation?

A) The seller

B) The Freight Forwarder

C) The transport company

D) The Customer

9 - A Marginal cost pricing must not consider_______________.

A) The cost of manufacturing

B) the % of sale price paid to the distributor in a foreign country

C) The domestic advertising cost

D) The foreign market advertising

10 - Which is not a topic that is considered in a chapter of Incoterms?

A) Proof of delivery

B) Negligence law terms

C) Provision of goods

D) transfer or risk