IIP301 - CHAP 1-6; 8-1| QUESTIONS AND ANSWERS|
UPDATED RATED A+ NEW 2026
Chapter 1
QN=001 Role of BUYER / IMPORTER in Finances the Transac!on?
a. Needs funds for produc!on and the period before payment is received, and prefers that the
seller finance the transac!on
b. Prefers that the seller bear the credit risk and wants to make certain that he receives the
goods once he has paid
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Prefers that the buyer bear the credit risk and wants to make certain he receives payment for
goods shipped
C
Chapter 1
QN=002 Role of SELLER/EXPORTER in Finances the Transac!on?
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Prefers that the seller bear the credit risk and wants to make certain that he receives the
goods once he has paid
c. Needs funds for payment and during the period before resale of goods, and prefers that the
buyer finance the transac!on
d. Prefers that the buyer bear the credit risk and wants to make certain he receives payment for
goods shipped
A
Chapter 1
QN=003 BUYER / IMPORTER will bear Transporta!on Costs and Risks ??
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Wants (typically) the seller to bear the transporta!on and insurance costs and to have the
goods delivered to a local, home-country delivery point where ownership is assumed.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
, d. Wants (typically) the seller to bear the transporta!on and insurance costs and to deliver the
goods and transfer ownership at his own warehouse or at a local port.
B
Chapter 1
QN=004 SELLER/EXPORTER will bear Transporta!on Costs and Risks ??
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Wants (typically) the buyer to bear the transporta!on and insurance costs and to have the
goods delivered to a local, home-country delivery point where ownership is assumed.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Wants (typically) the buyer to bear the transporta!on and insurance costs and to deliver the
goods and transfer ownership at his own warehouse or at a local port.
D
Chapter 1
QN=005 Role of BUYER / IMPORTER in Poli!cal and Legal Risks?
a. Considers poli!cal risk to be minimal in part because he lives with it every day and
understands it.
b. May consider poli!cal and legal risks to be significant, especially if the country appears to be
unstable by his own standards.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
A
Chapter 2
QN=001 _____ is in the business of purchasing or the brokering of raw materials, component
parts, finished goods, or services for manufacturing, assembly, or resale to others.
a. The buyer
b. The seller
c. The employee
d. The insurer
A
UPDATED RATED A+ NEW 2026
Chapter 1
QN=001 Role of BUYER / IMPORTER in Finances the Transac!on?
a. Needs funds for produc!on and the period before payment is received, and prefers that the
seller finance the transac!on
b. Prefers that the seller bear the credit risk and wants to make certain that he receives the
goods once he has paid
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Prefers that the buyer bear the credit risk and wants to make certain he receives payment for
goods shipped
C
Chapter 1
QN=002 Role of SELLER/EXPORTER in Finances the Transac!on?
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Prefers that the seller bear the credit risk and wants to make certain that he receives the
goods once he has paid
c. Needs funds for payment and during the period before resale of goods, and prefers that the
buyer finance the transac!on
d. Prefers that the buyer bear the credit risk and wants to make certain he receives payment for
goods shipped
A
Chapter 1
QN=003 BUYER / IMPORTER will bear Transporta!on Costs and Risks ??
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Wants (typically) the seller to bear the transporta!on and insurance costs and to have the
goods delivered to a local, home-country delivery point where ownership is assumed.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
, d. Wants (typically) the seller to bear the transporta!on and insurance costs and to deliver the
goods and transfer ownership at his own warehouse or at a local port.
B
Chapter 1
QN=004 SELLER/EXPORTER will bear Transporta!on Costs and Risks ??
a. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
b. Wants (typically) the buyer to bear the transporta!on and insurance costs and to have the
goods delivered to a local, home-country delivery point where ownership is assumed.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Wants (typically) the buyer to bear the transporta!on and insurance costs and to deliver the
goods and transfer ownership at his own warehouse or at a local port.
D
Chapter 1
QN=005 Role of BUYER / IMPORTER in Poli!cal and Legal Risks?
a. Considers poli!cal risk to be minimal in part because he lives with it every day and
understands it.
b. May consider poli!cal and legal risks to be significant, especially if the country appears to be
unstable by his own standards.
c. Needs funds for payment and during the period before resale of goods, and prefers that the
seller finance the transac!on
d. Needs funds for produc!on and the period before payment is received, and prefers that the
buyer finance the transac!on
A
Chapter 2
QN=001 _____ is in the business of purchasing or the brokering of raw materials, component
parts, finished goods, or services for manufacturing, assembly, or resale to others.
a. The buyer
b. The seller
c. The employee
d. The insurer
A
