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Task2-4: conclude the Price clause object: 1. be able to calculate the cost of the exportation 2. be able to quote the price and the interchange between different trade terms. Task2-4: conclude the Price clause Aim of ability: Be able to calculate the export cost, quote the price and interchange between different trade terms. Aim of quality: be able to settle problems which may arise from the conclusion of the price clause. Task2-4: conclude the Price clause Knowledge points: The calculation of the export cost The relations between FOB, CFR CIF The relations between net price and price with commission Trade terms such as FOB, CFR CIF The common practice of international trade ⅠTask description The cost of the clothes is about RMB 160 per suit , including 17% value added tax. The tax refund rate is 11%, other fixed cost is 5%. The expected profit of this deal is 15%. Now David sun is talking about the price clause with Paul. Ⅱ relevant knowledge (一)general description about trade terms (二)FOB CFR CIF (三)FCA CPT CIT (四)other trade terms (五)calculation of the cost Brief introduction of trade practice Incoterms 2000 1. Clear up confusion 2.International chamber of commerce (ICC) 3. Revised for five times 4. Incoterms 2000 Under the INCOTERMS 2000, the international commercial terms are grouped into E, F, C and D, designated by the first letter of the term as follows: E组:EXW Ex Works F组:FCA Free Carrier FAS Free Alongside Ship FOB Free On Board C组:CFR Cost and Freight CIF Cost Insurance and Freight CPT Carriage Paid To CIP Carriage and Insurance Paid To D组:DAF Delivered At Frontier DES Delivered Ex Ship DEQ Delivered Ex Quay DDU Delivered Duty Unpaid DDP Delivered Duty Paid (三)FCA、 CPT CIT 1.FCA Free carrier(….named place) 2.CPT Carriage Paid To (...named place of destination) 3.CIP Carriage and Insu
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