The word "Free" for FOB signals the point or location where the seller is
A)free of responsibility for customer invoicing.
B)free of product liability.
C)free to choose method of transportation.
D)free to choose the point of loading.
E)free to choose the method of payment.

Question

Quizplus · Accepted Answer

The term "Free" for FOB indicates that the seller is free to choose the point of loading. This means that the seller bears the responsibility of loading the goods onto the shipping vessel. The buyer takes responsibility for the goods once they are loaded onto the vessel. However, the term does not imply any freedom in terms of invoicing, product liability, transportation, or payment method.

The Word "Free" for FOB Signals the Point or Location