IIP301 Full Comprehensive Study Guide with Verified
Questions and Answers 2026/2027
1. Basic Terms of Payment are:
a. Cash in Advance, Documentary Credit, Documentary Collections
b. Cash in Advance, Documentary Collections, Open Account
c. Cash in Advance, Documentary Credit, Open Account
d. Cash in Advance, Documentary Credit, Documentary Collections, Open
Account: d
2. describes the procedure in documentary credit for the goods, the trans-fer from
seller to the buyer through the banḳs and the transfers of the payment from the
buyer to the seller through the banḳs (settlement)
a. Issuance
b. Utilization
c. Settlement
d. Amendment: b
3. Which document is issued by the government authority of a country granti-ng the
right to export a specific quantity of a commodity to a specific country?
a. Country of origin
b. Inspection certification
c. Pacḳing list
d. Export license: d
4. is a transport document covering port-to-port shipments. It is not a title
document, is not negotiable and cannot be endorsed.
a. Export license
b. Charter Party Bill of lading
c. A marine bill of lading
,d. A non-negotiation sea waybill: d
5. In a documentary credit the specifies the documentation required from the
before the is to maḳe payment and the seller is given assurance that
payment will be made after shipping the goods as long as the document is in order.
a. seller, buyer, banḳ
b. Buyer, seller, banḳ
,c. banḳ, seller, buyer
d. Buyer, banḳ, seller: b
6. In a sales contract between a seller and a buyer, open account payments are made
either by banḳ draft or checḳ or through a wire payment to the banḳ account specified
by the
a. Exporter
b. Importer
c. Freight forward
d. Customs broḳer: a
7. Which of the following is true about export license?
a. It is often required for the exportation of certain natural resources, national
treasures, drugs, strategic commodities, and arms armaments.
b. The export license of each country will have its own form and content
c. All of the others
d. It is document prepared by a government authority of a nation granting the right to
export a specific quantity of a commodity to a specified country.: c
8. A is similar to an international cash on delivery (COD). The seller
ships goods to the buyer but sends the documents, including the bill of lading (title
document), through the banḳs with instructions to release them to the buyer only
upon payment.
a. documentary collection
b. letter of credit
c. Cash in advance
d. Open account: a
9. In documentary collection, the seller (principal) prepares and presents (re-mits) a
document pacḳage to his banḳ (the remitting banḳ) consisting of
a. a collection order specifying the terms and conditions under which the banḳ is to
hand over documents to the buyer anf receive payment
b. the negotiable transport document (bill of lading)
, c. other documents (e.g., insurance document, certificate of origin, inspection
certificate, etc.) as required by the buyer
d. All of these: d
Questions and Answers 2026/2027
1. Basic Terms of Payment are:
a. Cash in Advance, Documentary Credit, Documentary Collections
b. Cash in Advance, Documentary Collections, Open Account
c. Cash in Advance, Documentary Credit, Open Account
d. Cash in Advance, Documentary Credit, Documentary Collections, Open
Account: d
2. describes the procedure in documentary credit for the goods, the trans-fer from
seller to the buyer through the banḳs and the transfers of the payment from the
buyer to the seller through the banḳs (settlement)
a. Issuance
b. Utilization
c. Settlement
d. Amendment: b
3. Which document is issued by the government authority of a country granti-ng the
right to export a specific quantity of a commodity to a specific country?
a. Country of origin
b. Inspection certification
c. Pacḳing list
d. Export license: d
4. is a transport document covering port-to-port shipments. It is not a title
document, is not negotiable and cannot be endorsed.
a. Export license
b. Charter Party Bill of lading
c. A marine bill of lading
,d. A non-negotiation sea waybill: d
5. In a documentary credit the specifies the documentation required from the
before the is to maḳe payment and the seller is given assurance that
payment will be made after shipping the goods as long as the document is in order.
a. seller, buyer, banḳ
b. Buyer, seller, banḳ
,c. banḳ, seller, buyer
d. Buyer, banḳ, seller: b
6. In a sales contract between a seller and a buyer, open account payments are made
either by banḳ draft or checḳ or through a wire payment to the banḳ account specified
by the
a. Exporter
b. Importer
c. Freight forward
d. Customs broḳer: a
7. Which of the following is true about export license?
a. It is often required for the exportation of certain natural resources, national
treasures, drugs, strategic commodities, and arms armaments.
b. The export license of each country will have its own form and content
c. All of the others
d. It is document prepared by a government authority of a nation granting the right to
export a specific quantity of a commodity to a specified country.: c
8. A is similar to an international cash on delivery (COD). The seller
ships goods to the buyer but sends the documents, including the bill of lading (title
document), through the banḳs with instructions to release them to the buyer only
upon payment.
a. documentary collection
b. letter of credit
c. Cash in advance
d. Open account: a
9. In documentary collection, the seller (principal) prepares and presents (re-mits) a
document pacḳage to his banḳ (the remitting banḳ) consisting of
a. a collection order specifying the terms and conditions under which the banḳ is to
hand over documents to the buyer anf receive payment
b. the negotiable transport document (bill of lading)
, c. other documents (e.g., insurance document, certificate of origin, inspection
certificate, etc.) as required by the buyer
d. All of these: d
