Air freight consolidation exercise (20 Marks)

You are the Air Export Coordinator for ABC Freight Services Inc. (A Freight Forwarder) You have the following 3 shipments to be consolidated to Mexico. Work out the profit or loss made from this console. assuming a profit split of 50/50 between the origin & destination agent.

IATA units of measurements conversion: 1kg=6,000 cm3

1kg=366 in3

(Rate payable by the customer) Airfreight Selling Rate in US$	(Rate Payable to the carrier) Airfreight Buying Rate in US$. (AC - Air Canada)
Minimum Charge:	$75.00	Minimum Charge	$50.00
-45 kgs.	$8.00/kg.	-45 kgs	$7.00/kg.
+45 kgs	$6.00/kg	+45kgs	$5.00/kg.
+100kgs	$4.50/kg.	+100 kgs.	$3.80/kg
+250kgs.	$4.00/kg.	+250 kgs.	$3.40/kg
+500kgs	$3.25/kg.	+500 kgs.	$2.75/kg.
+1000kgs.	$2.85/kg.	+ 1000 kgs.	$2.25/kg.

1) Shipper#1:

Freight:48 Cartons - Weight.12 Kgs/carton

Dimensions: 30x11x11 cm

Actual Gross Weight: _________________________

Volume Weight:______________________________________

Chargeable Weight:______________________

Freight Amount:_______________________________

(4 Marks)

2) Shipper #2:

Freight: 15 Cartons-Weight: 20kgs/box,

Dimensions:.37 x 32 x 25 cm

Actual Gross Weight: _________________________

Volume Weight:______________________________________

Chargeable weight :__________________________

Freight Amount:_________________________________

(4 Marks)

3) Shipper #3

Freight:08 Crates-Weight: 140 Kgs/crate

Dimension:50 x 45 x 45 cm

Actual Gross Weight: __________________________

Volume Weight: ______________________________________

Chargeable weight: _________________________

Freight Amount: ____________________________

Consolidation (6 Marks)
Items	No of Pieces	Actual Gross Weight	Volume Weight	Chargeable Weight	Total Money to be Collected	Freight Payable to AC
Shipment 1
Shipment 2
Shipment 3
Total

Profit made = Freight Collected or To be collected (A) - Freight payable to the carrier (B) = ________________=________ (1 Mark)

Profit share of each party = _________________________________________________________________________ (1 Mark)