JAMB Commerce 2011 Question 17

Question 17

Foreign Trade Documents

The price quoted which includes the cost of insurance, freight and all delivery charges to the importer's warehouse is

  1. A.Free Alongside Ship
  2. B.Franco
  3. C.Free on Board
  4. D.Free On Rail.
Show the answer and explanation

Answer: B (Franco)

Explanation

A franco (delivered) price includes every cost until the goods reach the buyer's premises.