BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Free on board destination indicates that the seller retains liability for loss or damage until the goods are delivered to the buyer. FOB shipping point is usually paid for by the buyer, while FOB destination is usually paid for by the seller.

Detailed explanation-2: -FOB freight collect specifies that the buyer must pay the freight transportation charges when the buyer receives the goods. However, the seller assumes the risk associated with transporting the goods because the seller still owns the goods during transit.

Detailed explanation-3: -If the terms include the phrase “FOB origin, freight collect, ” the buyer is responsible for freight charges. If the terms include “FOB origin, freight prepaid, ” the buyer assumes the responsibility for goods at the point of origin, but the seller pays the cost of shipping.