Question

We are a food export company in China (Company A), and signed a contract of sale with an import company (Company B) in the United States in April 2018.

(1) The export goods are total 100 boxes. The volume of each box is 30cm*60cm*50cm, and gross weight is 40 kg per box. The original price of each box is $200 per ton FOB Shanghai. However, the company B asked to change the price in CFR New York price. Check the freight schedule to learn that the goods are 9 levels. The charging standard is W/M, and the basic freight rate is $20 per freight ton. In addition, fuel surcharge of 20%, port surcharge 20%, currency depreciation surcharge of 10%. Please try to calculate the CFR New York price. (20 points).

Answer 1

The total CFR New York price is $1880.

Step-by-step explanation:

To calculate the CFR New York price, you need to add the cost of the freight to the FOB Shanghai price.

First, you need to calculate the total weight of the goods in tons. Since the gross weight of each box is 40 kg, and there are 100 boxes, the total weight of the goods is 100 boxes * 40 kg/box = 4000 kg. Since 1 ton is equal to 1000 kg, the total weight of the goods in tons is 4000 kg / 1000 kg/ton = 4 tons.

Next, you need to calculate the basic freight rate. Since the basic freight rate is $20 per freight ton, and the goods are 9 levels, the total basic freight rate is $20/ton * 9 levels = $180.

Next, you need to calculate the fuel surcharge. The fuel surcharge is 20% of the basic freight rate, so the fuel surcharge is $180 * 20% = $36.

Next, you need to calculate the port surcharge. The port surcharge is also 20% of the basic freight rate, so the port surcharge is $180 * 20% = $36.

Next, you need to calculate the currency depreciation surcharge. The currency depreciation surcharge is 10% of the basic freight rate, so the currency depreciation surcharge is $180 * 10% = $18.

Finally, you can add all of these costs to the FOB Shanghai price to calculate the CFR New York price. The FOB Shanghai price is $200 per ton, and the total freight costs are $180 + $36 + $36 + $18 = $270. Therefore, the CFR New York price is $200/ton + $270/ton = $470/ton. Since there are 4 tons of goods, the total CFR New York price is $470/ton * 4 tons = $1880.