Course Code:INTL $704$Course Name:Global Logistics Module $10$: Activity: Calculating Air Freight Charges

In this activity you will consolidate air freight, calculate air freight charges, and complete an air waybill. Your company offers a weekly consolidation service to Sao Paulo Brazil $($GRT$),$ via Air Canada $($AC$).$ The carrier has given you a $+500$ kg buying rate of CAN $$1\mathrm{.}70/$kg and a $+1,000$ kg buying rate of CAN $$1\mathrm{.}20/$kg$.$ You sell this service to clients who ship $+500$ kg at a rate of CAN $$2\mathrm{.}50/$kg and for clients who ship $+1,000$ kg at a rate of CAN $$2\mathrm{.}20/$kg$.$ This is an allin rate, no additional charges. Shipment #$1$Shipment #$2$Shipper: Pella Windows Co$.$ Ltd$\mathrm{.}123$ Bloor Ave.Toronto, ON$,$ Canada, M$5$H $3$K$5$ Buyer: Joaos Windows, $234$ Rio de Janeiro, BrazilShipment: $30$ tempered glass thermo$-$sealed windows Total weight: $550$ kgDimensions of each sheet: $250$ cm x $70$ cm x $5$ cmTotal value: CAN $$17,000\mathrm{.}00$Goods sold: collect Shipper: Canada Goose Canada Ltd$.456$ Avenue Road, Toronto, ON$,$ Canada, K$2$S $1$R$2$ Buyer: Canada Goose $($Brazil$)$ Ltd$.,132-0023,$ Sao Paolo, BrazilShipment: $100$ boxes of Canada Goose ParkasTotal weight: $200$ kgDimensions of each box: $20$ in x $20$ in x $20$ inTotal value: CAN $$50,000\mathrm{.}00$Goods sold: collect $1.$ Based on the information provided above and using the TACT rate table below, calculate the air freight charges for those shipments. $($use Exercise $10\mathrm{.}1$ for guidance$)$ a$.$ What is the total actual weight of the consolidation?b$.$ What is the total volume weight of the consolidation?c$.$ How much will you charge each customer?d$.$ How much will you pay the air carrier?e$.$ What is the gross profit on this shipment? $2.$ Based on your answers and the above information: a$.$ Prepare the $2$ house air waybills $($HAWB$)$b$.$ Prepare a master air waybill for the consolidationc. Prepare the shipment manifest. TACT Rates:TORONTOCurrency: CAD$ CA YTOWeight: kgTo BrazilVia Air Freight Weight $($kg$)$MinimumNominal $(<45)$ TACT Rate $($$$/$kg$)$$$150\mathrm{.}0011\mathrm{.}84+456\mathrm{.}62+1005\mathrm{.}67+3005\mathrm{.}08+5004\mathrm{.}64+1000$FCL $($ULD$)$ Rates:$4\mathrm{.}10/$H $066010517355\mathrm{.}00/$H $066110516897\mathrm{.}00/$H $066210518156\mathrm{.}00$ Shippers Name and AddressShippers Account NumberNot negotiable Air Waybill: $125-7654$Issued by: JAPAN AIRLINES$\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$Copies $1,2,$ ands $3$ of this Air Waybill are originals and have the same validity.CIFFA Forwarder$480-170$ Attwell Dr$.$Toronto, ON$,,$ M$9$W $5$Z$5,$ Canada It is agreed that the goods described herein are accepted in apparent good order and condition $($except as noted$)$ for carriage SUBJECT TO THE CONDITIONS OF CONTRACT ON THE REVERSE HEREOF. THE SHIPPERS ATTENTION IS DRAWN TO THENOTICE CONCERNING CARRIERS LIMITATION OF LIABILITY. Shipper may increase such limitations of liability by declaring a higher value for carriage and paying a supplemental charge if required.Consignees Name and AddressConsignees Account Number CIFFA Forwarders Agent$12$ Pall MallNarita, Japan Issuing Carriers Agent Name and CityAccounting InformationAgents IATA CodeAccount No$.$ Airport of Departure $($Address of First Carrier$)$ and Requested Routing To By First CarrierRouting andTo ByTo ByCurrency CHGSCodeWT$/$VALOtherDeclaredValue forCarriageDeclaredValue for Customs$ Destination Airport of DestinationFlight$/$DateFor Carrier Use OnlyFlight$/$DateAmount ofInsurance INSURANCE If carrier offers insurance, and such Insurance is requested in accordance with the conditions thereof, indicate amount to be insured in figures in box marked Amount of Insurance. Handling Information: SCINo. ofPieces RCPGross Weightkg$/$lbRate Class Chargeabl WeighteRate$/$ChargeTotalNature and Quantity of Goods $($incl$.$ Dimensions or Volume$)$ Commodity Item No$.$ Prepaid Weight Charge Collect Other Charges Valuation Charge Tax Total Other Charges Due Agent Shipper certifies that the particulars on the face hereof are correct and that insofar as any part of the consignment contains dangerous goods, such part is properly described by name and is in proper condition for carriage by air according to the applicable Dangerous Goods Regulations. Signature of Shipper or his Agent Total Other Charges Due Carrier Total Prepaid Total Collect Currency Conversion Rates CC Charges in Destination Currency Executed on $($Date$)$at $($Place$)$ Signature of Issuing Carrier or its AgentShippers Name and AddressShippers Account NumberNot negotiable Air Waybill: AX$-0912-001$Issued by: $\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$Copies $1,2,$ ands $3$ of this Air Waybill are originals and have the same validity. It is agreed that the goods described herein are accepted in apparent good order and condition $($except as noted$)$ for carriage SUBJECT TO THE CONDITIONS OF CONTRACT ON THE REVERSE HEREOF. THE SHIPPERS ATTENTION IS DRAWN TO THE NOTICE CONCERNING CARRIERS LIMITATION OF LIABILITY. Shipper may increase such limitations of liability by declaring a higher value for carriage and paying a supplemental charge if required.Consignees Name and AddressConsignees Account Number Issuing Carriers Agent Name and CityAccounting Information Agents IATA CodeAccount No$.$ Airport of Departure $($Address of First Carrier$)$ and Requested Routing ToBy First CarrierRouting andToByToByCurrencyCHGS CodeWT$/$VALOtherDeclaredValue forCarriageDeclaredValue forCustoms$ Destination Airport of Destination Flight$/$DateFor Carrier Use OnlyFlight$/$DateAmount ofInsurance INSURANCE If carrier offers insurance, and such Insurance is requested in accordance with the conditions thereof, indicate amount to be insured in figures in box marked Amount of Insurance. Handling Information: SCINo. ofPieces RCPGross Weightkg$/$lbRate Class Chargeabl WeighteRate$/$ChargeTotalNature and Quantity of Goods Commodity Item No$.($incl$.$ Dimensions or Volume$)$ Prepaid Weight Charge Collect Other Charges Valuation Charge Tax Total Other Charges Due Agent Shipper certifies that the particulars on the face hereof are correct and that insofar as any part of the consignment contains dangerous goods, such part is properly described by name and is in proper condition for carriage by air according to the applicable Dangerous Goods Regulations. Signature of Shipper or his Agent Total Other Charges Due Carrier Total PrepaidTotal Collect Currency Conversion RatesCC Charges in Destination Currency Executed on $($Date$)$at $($Place$)$ Signature of Issuing Carrier or its Agent Shippers Name and AddressShippers Account NumberNot negotiable Air Waybill: AX$-0912-002$Issued by: $\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_$Copies $1,2,$ ands $3$ of this Air Waybill are originals and have the same validity. It is agreed that the goods described herein are accepted in apparent good order and condition$($except as noted$)$ for carriage SUBJECT TO THE CONDITIONS OF CONTRACT ON THEREVERSE HEREOF. THE SHIPPERS ATTENTION IS DRAWN TO THE NOTICE CONCERNING CARRIERS LIMITATION OF LIABILITY. Shipper may increase such limitations of liability by declaring a higher value for carriage and paying a supplemental charge if required.Consignees Name and AddressConsignees Account Number Issuing Carriers Agent Name and City Accounting Information Agents IATA CodeAccount No$.$ Airport of Departure $($Address of First Carrier$)$ and Requested Routing ToBy First CarrierRouting and DestinationToByTo By Currency CHGSCodeWT$/$VALOtherDeclared Value for CarriageDeclared Value for Customs$ Airport of Destination Flight$/$DateFor Carrier Use OnlyFlight$/$DateAmount ofInsurance INSURANCE If carrier offers insurance, and such Insurance is requested in accordance with the conditions thereof, indicate amount to be insured in figures in box marked Amount of Insurance. Handling Information: SCINo. ofPieces RCPGross Weightkg$/$lbRate Class Chargeable Weight Rate$/$ChargeTotalNature and Quantity of Goods Commodity Item No$.($incl$.$ Dimensions or Volume$)$ Prepaid Weight Charge Collect Other Charges Valuation Charge Tax Total Other Charges Due Agent Shipper certifies that the particulars on the face hereof are correct and that insofar as any part of the consignment contains dangerous goods, such part is properly described by name and is in proper condition for carriage by air according to the applicable Dangerous Goods Regulations. Signature of Shipper or his Agent Total Other Charges Due Carrier Total PrepaidTotal Collect Currency Conversion RatesCC Charges in Destination Currency Executed on $($Date$)$at $($Place$)$ Signature of Issuing Carrier or its Agent CARGO MANIFEST FOR MAWB: Date: Flight: Departure: Destination: Agent at Destination: ShipperConsigneePiecesGross WeightNature of GoodsPOR# Total Pieces: Total Gross Weight: Total HAWB: Declared by: Signed by: