If delivery terms are FOB factory,who would be responsible for the transportation charges?
A) The transportation company
B) The vendor
C) The buyer
D) The buyer and the vendor share the expenses
E) The final customer

Question

Quizplus · Accepted Answer

FOB factory means that the seller (vendor) is responsible for the goods until they leave the factory. Once the goods leave the factory, the responsibility and cost of transportation and insurance fall on the buyer. Therefore, the buyer is responsible for transportation charges in FOB factory terms.

If Delivery Terms Are FOB Factory,who Would Be Responsible for the Transportation