FINAL EXAM STUDY GUIDE 2025/2026
COMPLETE QUESTIONS AND CORRECT
DETAILED ANSWERS WITH RATIONALES ||
100% GUARANTEED PASS
<RECENT VERSION>
1. With respect to cargo insurance claim procedures, the insurance policy will
provide specified time limits in which the assured must: - ANSWER ✓ 1.
Submit a formal claim specifying amount claimed supported by proof of loss
documentation.
Notify the insurance carrier following discovery of loss.
File a lawsuit to pursue an unsettled claim.
2. An airfreight forwarder's function is to make all the arrangements necessary
to move a shipment from the shipper or supplier's door to the consignee's
door or other place of delivery within the period of time specified by its
customer. - ANSWER ✓ True
3. Absent a system of common carriage, all "for hire" ocean shipping would
revert to contract carriage, with each shipper having to negotiate rates and
conditions of service separately with each carrier. - ANSWER ✓ True
4. How should you proceed with Schedule B classification of products for
which the shipper's description is very general or vague (e.g., "auto parts,"
"building materials," "medical device")? - ANSWER ✓ Contact the shipper
for more specific description(s) before proceeding.
5. If imported goods arrive in wood packaging that is not ISPM-15 certified,
the shipment may be refused entry and the importer fined regardless of
whether the wood actually contains insects. - ANSWER ✓ True
,6. An international air carrier may reject a claim for damage if the shipper's
packaging was inadequate to safeguard the contents from damage resulting
from the normal rigors of the intended transportation, and there is no
evidence of mis-handling by carrier. - ANSWER ✓ True
7. In the case of a routed export transaction where the FPPI has expressly
assumed responsibility as exporter under the EAR, the USPPI must, upon
request of the FPPI, provide ECCN(s) or sufficient technical information to
determine classification. - ANSWER ✓ True
8. The "all-risks clause" under an open cargo insurance policy means that all
commodities are insured for loss or damage from all commercial risks. -
ANSWER ✓ False
9. Costs being equal, typically the shipper is better served by a single through
intermodal bill of lading rather than separately contracting for each segment
of needed transportation. - ANSWER ✓ True
10.A supply chain owner can now reliably out-source some or many supply
chain management functions to 3PLs or 4PLs. - ANSWER ✓ True
11.A U.S. OTI license is required for forwarding type services only when such
services are associated with the dispatch of ocean cargo via a U.S. port. -
ANSWER ✓ True
12.Air cargo shipments, including the connecting land transportation at origin
and destination, are insurable under almost all marine open cargo policies. -
ANSWER ✓ True
13.To which of the following should you refer in order to determine if a
substance is classifiable as "dangerous goods" for transport purposes? -
ANSWER ✓ 1. Shipper
2. Dangerous goods list (DGL)
14.Every bank has somewhat different rules for the collection of bills of
exchange, so the remitting bank must closely coordinate with the presenting
bank as to rules that will apply to particular collections. - ANSWER ✓ False
,15.The convenience of using a through intermodal bill of lading inevitably
outweighs the drawbacks involved. - ANSWER ✓ False
16.Who is directly responsible for compliance with dangerous goods
transportation regulations? - ANSWER ✓ 1. You, whenever you prepare,
arrange, accept or transport DG
2. The DG shipper is the primary responsible party.
3. Everyone involved in the DG transportation process.
17.Each ocean forwarder implant location is considered a "branch office" by the
FMC. - ANSWER ✓ True
18.What is the disposition of the original, signed Shipper's Certification
document for a dangerous goods shipment? - ANSWER ✓ Provided by
shipper to the originating carrier, who retains it.
19.There are currently hundreds of different error messages an AES filer might
receive as a result of system validations and/or cross-checks with data
received from other parties or previous filings. - ANSWER ✓ True
20.For ocean shipments inbound to the U.S., by when does an ocean carrier
need detailed B/L instructions? - ANSWER ✓ 2+ days prior to loading on
board the vessel
21.When using a documentary draft for collection with an ocean shipment,
when should a straight ocean bill of lading be used? - ANSWER ✓ Never
22.For items shipped under a Department of Commerce export license, when
the export authorization in the license is in other than the Schedule B
primary unit of measure, enter the number of export license authorized units
being shipped in the EEI secondary unit of measure field. - ANSWER ✓
False
23.When should a forwarder provide its standard terms and conditions to a
shipper? - ANSWER ✓ Before the first shipment for a new shipper is
dispatched
, 24.Ocean carriers typically require B/L instructions at least three days prior to
accepting the described cargo. - ANSWER ✓ False
25.The FMC reserves the right to determine what constitutes ocean forwarding
services on a caseby-case basis. - ANSWER ✓ True
26.A forwarder may use forwarder compensation from an ocean carrier as
consideration to reduce or offset the fees it would otherwise charge for
rendering services. - ANSWER ✓ False
27.The value of goods for EEI purposes is their value as if sold at the U.S. port
of export, inclusive of domestic transportation and insurance costs, but not
including costs beyond the port. - ANSWER ✓ True
28.What type of paper bill of lading is issued without originals? - ANSWER ✓
Express bill of lading
29.The symbol "NLR" is used solely as the AES Exemption Legend on the
transport document when EEI is not required. - ANSWER ✓ False
30.Typically, air forwarders break out the airfreight rate on their house air
waybills for each route segment. - ANSWER ✓ False
31.The U.S. Hazardous Material Regulations (HMR) authorizes the use of these
international dangerous goods regulations for use in the U.S.: - ANSWER ✓
1. ICAO Technical Instructions
2. IMDG Code
3. IAEA Regulations
32.A transshipment bill of lading is an example of a combined B/L. - ANSWER
✓ True
33.A negotiating bank must interpret information on shipping documents that is
not required by the L/C or the UCP to be a discrepancy. - ANSWER ✓ False
34.Open cargo policies issued to freight forwarders, customs brokers and NVOs
are limited to shipments under the assured's house air waybills and house
bills of lading. - ANSWER ✓ False