CUSECO Exam Prep: Certified US Export Compliance
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A U.S.-origin commercial product is physically located in Germany
and is later transferred to another foreign country. Which statement
most accurately describes the product's status under the EAR?
A. It generally remains subject to the EAR because U.S.-origin items
remain subject to the EAR wherever located
B. It automatically becomes subject only to German export regulations
C. It ceases to be subject to U.S. controls once it leaves U.S. territory
D. It becomes ITAR-controlled because it is outside the United States
Answer: A
Rationale: U.S.-origin items generally remain subject to the EAR even
when located outside the United States. Their foreign location does
not, by itself, terminate U.S. export-control jurisdiction. Other
jurisdictional rules can also apply to foreign-made items.
Which U.S. government agency administers and enforces the Export
Administration Regulations?
A. Department of State, DDTC
B. Department of Commerce, BIS
,C. Department of the Treasury, OFAC
D. Department of Defense, DCSA
Answer: B
Rationale: The Bureau of Industry and Security (BIS), within the U.S.
Department of Commerce, administers the EAR. DDTC administers
the ITAR, while OFAC administers U.S. economic sanctions.
The International Traffic in Arms Regulations are primarily codified
in which title of the Code of Federal Regulations?
A. 15 CFR Parts 730–774
B. 31 CFR Parts 500–599
C. 22 CFR Parts 120–130
D. 19 CFR Parts 1–199
Answer: C
Rationale: The ITAR is codified primarily in 22 CFR Parts 120–130.
The EAR is principally found in 15 CFR Parts 730–774, while OFAC
sanctions are generally codified in Title 31 CFR.
What is the primary function of the Commerce Control List (CCL)?
A. To identify sanctioned financial institutions
B. To identify prohibited foreign governments
C. To list every product that may legally be exported
,D. To identify items subject to the EAR that are specifically controlled
by an Export Control Classification Number
Answer: D
Rationale: The CCL, found in Supplement No. 1 to Part 774 of the
EAR, identifies items subject to the EAR that have specific controls.
Each listed classification is associated with an ECCN. Items subject to
the EAR but not described by an ECCN are generally designated
EAR99.
A product is subject to the EAR but is not described by any ECCN on
the CCL. What classification will generally apply?
A. EAR99
B. USML Category I
C. OFAC99
D. ITAR99
Answer: A
Rationale: EAR99 is the designation generally used for an item subject
to the EAR that is not specifically described by an ECCN on the CCL.
EAR99 does not mean the item is automatically free of export
restrictions; destination, end-use, and end-user restrictions can still
apply.
Which EAR provision contains the General Prohibitions governing
prohibited export-related activities?
, A. Part 740
B. Part 742
C. Part 736
D. Part 774
Answer: C
Rationale: EAR Part 736 establishes the General Prohibitions. These
provisions address various prohibited activities, including certain
exports, reexports, prohibited end uses, and prohibited conduct
involving restricted parties or transactions.
What is a deemed export under the EAR?
A. Exporting an item to a U.S. territory
B. Releasing controlled technology or source code to a foreign person
in the United States
C. Returning an imported product to its original seller
D. Exporting an EAR99 item to Canada
Answer: B
Rationale: Under the EAR, a release of controlled technology or
source code to a foreign person in the United States can constitute a
deemed export to that person's most recent country of citizenship or
permanent residency, subject to the applicable rules and exceptions.
Which statement best describes a reexport under the EAR?
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A U.S.-origin commercial product is physically located in Germany
and is later transferred to another foreign country. Which statement
most accurately describes the product's status under the EAR?
A. It generally remains subject to the EAR because U.S.-origin items
remain subject to the EAR wherever located
B. It automatically becomes subject only to German export regulations
C. It ceases to be subject to U.S. controls once it leaves U.S. territory
D. It becomes ITAR-controlled because it is outside the United States
Answer: A
Rationale: U.S.-origin items generally remain subject to the EAR even
when located outside the United States. Their foreign location does
not, by itself, terminate U.S. export-control jurisdiction. Other
jurisdictional rules can also apply to foreign-made items.
Which U.S. government agency administers and enforces the Export
Administration Regulations?
A. Department of State, DDTC
B. Department of Commerce, BIS
,C. Department of the Treasury, OFAC
D. Department of Defense, DCSA
Answer: B
Rationale: The Bureau of Industry and Security (BIS), within the U.S.
Department of Commerce, administers the EAR. DDTC administers
the ITAR, while OFAC administers U.S. economic sanctions.
The International Traffic in Arms Regulations are primarily codified
in which title of the Code of Federal Regulations?
A. 15 CFR Parts 730–774
B. 31 CFR Parts 500–599
C. 22 CFR Parts 120–130
D. 19 CFR Parts 1–199
Answer: C
Rationale: The ITAR is codified primarily in 22 CFR Parts 120–130.
The EAR is principally found in 15 CFR Parts 730–774, while OFAC
sanctions are generally codified in Title 31 CFR.
What is the primary function of the Commerce Control List (CCL)?
A. To identify sanctioned financial institutions
B. To identify prohibited foreign governments
C. To list every product that may legally be exported
,D. To identify items subject to the EAR that are specifically controlled
by an Export Control Classification Number
Answer: D
Rationale: The CCL, found in Supplement No. 1 to Part 774 of the
EAR, identifies items subject to the EAR that have specific controls.
Each listed classification is associated with an ECCN. Items subject to
the EAR but not described by an ECCN are generally designated
EAR99.
A product is subject to the EAR but is not described by any ECCN on
the CCL. What classification will generally apply?
A. EAR99
B. USML Category I
C. OFAC99
D. ITAR99
Answer: A
Rationale: EAR99 is the designation generally used for an item subject
to the EAR that is not specifically described by an ECCN on the CCL.
EAR99 does not mean the item is automatically free of export
restrictions; destination, end-use, and end-user restrictions can still
apply.
Which EAR provision contains the General Prohibitions governing
prohibited export-related activities?
, A. Part 740
B. Part 742
C. Part 736
D. Part 774
Answer: C
Rationale: EAR Part 736 establishes the General Prohibitions. These
provisions address various prohibited activities, including certain
exports, reexports, prohibited end uses, and prohibited conduct
involving restricted parties or transactions.
What is a deemed export under the EAR?
A. Exporting an item to a U.S. territory
B. Releasing controlled technology or source code to a foreign person
in the United States
C. Returning an imported product to its original seller
D. Exporting an EAR99 item to Canada
Answer: B
Rationale: Under the EAR, a release of controlled technology or
source code to a foreign person in the United States can constitute a
deemed export to that person's most recent country of citizenship or
permanent residency, subject to the applicable rules and exceptions.
Which statement best describes a reexport under the EAR?
