Question 1

When a time draft is drawn on and accepted by a business firm, it is called a(n):

Accepted Answer

A) trade acceptance. 
B) in-transit. 
C) banker's acceptance. 
D) bill of lading. 
E) commercial acceptance.

Question 2

Large firms generally tend to be ______________ about seeking opportunities for profitable exporting, whereas medium-sized and small firms are ____________.

Accepted Answer

A) passive; aggressive 
B) reactive; proactive 
C) discouraged; encouraged 
D) proactive; reactive 
E) aggressive; discouraged

Question 3

The way to overcome ignorance about export opportunities is _________?

Accepted Answer

A) to start importing 
B) to DFAIT 
C) to collect information 
D) to use barter transactions 
E) to use countertrade

Question 4

Which of these allows for a delay in payment?

Accepted Answer

A) Sight draft 
B) Time draft 
C) Bill of lading 
D) Barter 
E) Post-dated draft

Question 5

Access International, a British based greeting card company, is interested in importing paper from Canada.Which of these should Access arrange first for the Canadian company to ship the merchandise?

Accepted Answer

A) Letter of credit 
B) Bill of Lading 
C) Time draft 
D) Sight draft 
E) Way bill

Question 6

Completion of FITT's eight training modules leads to the _____ designation:

Accepted Answer

A) DFAIT 
B) ITC 
C) CFIT 
D) FITT 
E) CITP

Question 7

How can Canadian firms increase their awareness of export opportunities? What agencies can be used? What do they provide?

Accepted Answer

The answer of How can Canadian firms increase their awareness...

Question 8

Germany is one of the world's most successful exporting nations.

Accepted Answer

A) True 
 B)False

Question 9

When a firm agrees to purchase a certain amount of materials back from a country to which a sale is made, it is called:

Accepted Answer

A) barter. 
B) counter-purchase. 
C) offset. 
D) switch trading. 
E) buybacks.

Question 10

Unlike large firms, small and medium-sized firms tend to go out into the world to seek opportunities.

Accepted Answer

A) True 
 B)False

Question 11

You have just been hired by a new company, which manufactures frozen foods, to manage their export business to Venezuela, Brazil and Chile.The company management has decided that they are just not ready to organize the documentation and the financial transaction.In fact, because of poor documentation their first shipment was delayed by customs and food inspectors for 90 days before the proper documentation was couriered to the authorities.Your first job is to explain to management how you can improve the preparation of documentation and ensure that the company will get paid for its products.

Accepted Answer

The answer of You have just been hired by a...

Question 12

(A) ____________'s principle is to trade goods and services when they cannot be traded for money.

Accepted Answer

A) Letter of credit 
B) Draft 
C) Bill of exchange 
D) Countertrade 
E) Switch Trading

Question 13

A typical international trade transaction involves ____________ steps.

Accepted Answer

A) 6 
B) 21 
C) 13 
D) 11 
E) 14

Question 14

Unlike their German and Japanese competitors, Canadian firms are still somewhat ____________ when they seek export opportunities.

Accepted Answer

A) information disadvantaged 
B) money strapped 
C) regulation-bound 
D) much better prepared 
E) overly cautious

Question 15

The probability of exporting successfully can be increased dramatically by taking eight strategic steps.What are these steps?

Accepted Answer

The answer of The probability of exporting successfully can be...

Question 16

The Business Development Bank of Canada focuses on Canadian exporting businesses in the technology sector and provides financial assistance mainly for export specific purposes as a way to facilitate the exchange of commodities between Canada and other countries.

Accepted Answer

A) True 
 B)False

Question 17

Lack of trust in international trade is exacerbated by the distance between two parties in space, language, and culture.

Accepted Answer

A) True 
 B)False

Question 18

The person or business initiating the draft is known as the ____________.

Accepted Answer

A) drawee 
B) importer 
C) importer's agent 
D) maker 
E) banker

Question 19

Common pitfalls of exporting include all of these except:

Accepted Answer

A) poor understanding of competitive conditions. 
B) problems securing financing. 
C) poor market analysis. 
D) intimidating the foreign customers. 
E) failure to customize the product

Question 20

Which of these countries is considered as one of the World's most successful exporting nation?

Accepted Answer

A) Australia 
B) The Philippines 
C) Germany 
D) The U.K. 
E) Canada

Exam 13: Exporting, Importing, and Countertrade

When a time draft is drawn on and accepted by a business firm, it is called a(n) :

Large firms generally tend to be __ about seeking opportunities for profitable exporting, whereas medium-sized and small firms are .

The way to overcome ignorance about export opportunities is _________?

Which of these allows for a delay in payment?

Access International, a British based greeting card company, is interested in importing paper from Canada.Which of these should Access arrange first for the Canadian company to ship the merchandise?

Completion of FITT's eight training modules leads to the _____ designation:

How can Canadian firms increase their awareness of export opportunities? What agencies can be used? What do they provide?

Germany is one of the world's most successful exporting nations.

When a firm agrees to purchase a certain amount of materials back from a country to which a sale is made, it is called:

Unlike large firms, small and medium-sized firms tend to go out into the world to seek opportunities.

(A) ____________'s principle is to trade goods and services when they cannot be traded for money.

A typical international trade transaction involves ____________ steps.

Unlike their German and Japanese competitors, Canadian firms are still somewhat ____________ when they seek export opportunities.

The probability of exporting successfully can be increased dramatically by taking eight strategic steps.What are these steps?

The Business Development Bank of Canada focuses on Canadian exporting businesses in the technology sector and provides financial assistance mainly for export specific purposes as a way to facilitate the exchange of commodities between Canada and other countries.

Lack of trust in international trade is exacerbated by the distance between two parties in space, language, and culture.

The person or business initiating the draft is known as the ____________.

Common pitfalls of exporting include all of these except:

Which of these countries is considered as one of the World's most successful exporting nation?