FINAL EXAM : 3 - ACADEMIC YEAR 2020 - 2021

Major/Class : Banking and Finance

Course : International Payment
Course code : FIN117E No. of Credit: 03
Date : 07/09/2021
Time limit : 60’ Exam method : Handwritten
FACULTY OF FINANCE AND Exam code : 010
COMMERCE
OPEN EXAM: YES x NO o
QUESTION 1. (5.5 Mark)
a. Definition and describing the process of the Clean Collection’s Method (2 marks).
b. Comparing the Clean Collection’s Method and the Remittance Method (2 marks).
c. The firms mostly use transportation by sea for international trade. Express your opinion
on the above issue (1.5 marks)

QUESTION 2. (4.5 Mark)

The firm has the commercial contract with the short information:
Product name Long Rice: white, 5 – 7 cm, broken 10%, clean, no dust.
Total weight (kg) 2,000,000 kg; 50 kg per bag.
Price (USD) 1.5 USD/ kg
Contract date 07/05/2019
Seller Cong Thanh LLC.,
1190 Quyet Thang, Khanh Hau, Tan An, Long An province.
Buyer Aladin Corp.,
120 Martin Place, Sydney, Australia
Payment term L/C, UCP 600
Shipment term FOB HCM to Australia
The export’s bank Vietnam Export Import Commercial Joint Stock Bank
(Eximbank)
Floor 8 - Vincom Center, 72 Le Thanh Ton Street, District 01, HCMC.
Account no: 1900 1945 38765
SWIFT: EBVIVNVX
The import’s bank First Bank
Ground Floor, Tower 1, 201 Sussex Street, Sydney, Australia.
B/L date BQT 2974
18/06/2020
Commercial invoice VN ER198
date 15/05/2020
Insurance term Covered by buyer

a. Describing the delivery terms with risk, cost, and insurance. Does it have convenient
for seller or buyer? Why? (1 marks).
b. Writing the Bill of Exchange to request payment with 60% of the contract’s value (2
marks):

Exam code: 010 Page 1/2

 - The date is the date of issuing the commercial invoice.
- Requesting payment within 90 days after the commercial invoice date.
c. Writing the Promissory Note to promise for the B/E of question 2.b (1.5 marks).
- The issuing date will be after 01 month of the B/E date.
- The promising date will be after 02 months of the commercial invoice.

Using the sample:

1. Bill of Exchange

2. Promissory Note

No explanation should be carried out

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