Course Code Course Name Section Code

IBM – I-G2 International Market Entry BU1233-G2

Strategies

Type of Evaluation Percentage Weight of Total

Evaluation
Winter 2020 Quiz #3
10 %
Course Instructor Quiz Date Total Marks /15

Gus Lazopoulos April 2nd., 2020

Student Name: Rajvi Rajendra Chatwani Student ID #: 201900929

Please, prepare the cost sheet, based on the following information.
a) Commodity: Icumsa 45 Sugar
b) Quantity: 100,000 MT in bulk
c) Exchange rate: US $1.00 = CAD $1.25
d) Cost Ex-warehouse: CAD$25,000,000
e) Trucking (freight to dock): CAD$500,000
f) Wharfage and handling: CAD$4 per MT
g) Finance charge: 2.5%
h) Profit margin: 7%
i) Agent’s commission: CAD$100,000
j) Ocean freight: US$5,000,000 for total shipment
k) Marin insurance: 1% on 110 % of the C&F value

Please, use the attached cost sheet to make your calculations, show all calculations,

Round your final answer to the nearest dollar amount; then, put the final price to
the nearest $5 amount.
 Costs CAD$ US$ Notes
Cost Cost
Cost [EXW] Ex-warehouse

Trucking (freight to dock)

Cost to Dock

Wharfage and Handling

Cost FAS (beside vessel)

Finance Charge

Profit Margin

Agent’s Commission

Price FOB

Convert to US$
( move to new column )
Ocean Freight

Price [CFR] C&F

Marine Insurance

Total [CIF] CIF

Round to the nearest US$

Round to the nearest US$5