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Pricing the Goods for Export Module Four Objectives After learning this module, you should: 1. be able to explain the functions of trade terms; 2. know the main international customs and rules on trade terms; 3. be familiar with the framework of the trade terms under INCOTERMS 2000; 4. know the names and be able to explain the implications of the 13 trade terms under INCOTERMS 2000; 5. be able to explain the obligations of the seller under the 6 mainly used trade terms; Objectives 6. be able to explain the obligations of the buyer under the 6 mainly used trade terms; 7. know and be able to explain the key points that need special attention under the mainly used trade terms; 8. be able to explain and apply the variations of FOB, CFR, and CIF; 9. be able to explain the differences between FOB, CFR, and CIF; 10. be able to explain the differences between FCA, CPT, and CIP; Objectives 11. be able to explain the relations between the traditional main trade terms and the new main trade terms; 12. know the material alterations of INCOTERMS2000 to INCOTERMS1990; 13. know the decisive factors of the price of goods for export; 14. be able to explain the influence of each decisive factor on the price of goods; 15. know the composition of the total cost and the common inland charges; 16. be able to calculate purchasing cost, supplier’s selling price, and Value Added Tax; Objectives 17. be able to calculate profit rate and cost of foreign proceeds; 18. be able to calculate refund of VAT and actual total cost; 19. be able to calculate and quote FOB price; 20. be able to convert FOB price into CFR and CIF; 21. be able to calculate and state commission correctly in the price clause; 22. be able to state discount correctly in the price clause; 23. be able to state the price clause correctly in the contract. Focus and Difficult Points 1. obligations of the se
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