Delivery 124
4.3.2 Port of Shipment and Port of
Destination 125
4.3.3 Shipping Advice 126
4.3.4 Partial Shipment and
Transshipment 126
4.3.5 Lay Time, Demurrage and
Dispatch 127
【Key Terms and Words】 129
【Exercises】 129
Chapter 5 International Cargo Transport
Insurance 133
5.1 Principles of Cargo Insurance 136
5.1.1 Principle of Insurable Interest 136
5.1.2 Principle of Utmost Good
Faith 136
5.1.3 Principle of Indemnity 137
5.1.4 Principle of Proximate Cause 138
5.2 The Definition of Insurance 138
5.3 Parties to the Insurance 139
5.3.1 Insurer 139
5.3.2 Insured 140
5.3.3 Brokers 140
5.4 Marine Insurance 140
5.4.1 Risks 141
5.4.2　Losses 141
5.4.3 Expenses 143
5.5 Coverage of Marine Cargo Insurance
? of CIC 144
5.5.1 Basic Coverage 145
5.5.2　Additional Risks 146
5.6 Coverage of Marine Cargo Insurance
? of ICC 150
5.6.1　Institute Cargo Clauses A 150
5.6.2　Institute Cargo Clauses B 151
5.6.3　Institute Cargo Clauses C 151
5.6.4 Major Exclusion 153
5.7　Procedures of Marine Insurance 153
5.7.1 Gather Information 153
5.7.2 Choose the Insurance
Coverage 154
5.7.3 Get Quotes 154
5.7.4 Pay the Insurance Premium 154
5.7.5 Purchase the Insurance Policy 155
5.7.6 Lodge an Insurance Claim 156
5.8　Insurance Clauses in Sales Contract 157
【Key Terms and Words】 159
【Exercises】 160
Chapter 6 Price of Goods 163
6.1 Price Elements 165
6.1.1 Pricing Principles 165
6.1.2　Pricing Consideration 166
6.1.3　Pricing Methods 167
6.1.4 Pricing Composition 170
6.1.5 Currency Option 172
6.2 Calculation of Price 173
6.3 Export Cost Accounting 175
6.4 Commission and Discount 177
6.4.1 Price Including Commission 177
6.4.2 Price with Discount 178
6.5 Import Cost Accounting 178
6.5.1 Import contract price 179
6.5.2 Total Domestic Expenses of
Importing Countries 179
6.5.3 Calculation of Imported Goods
Tariff 179
6.5.4 Calculation of Value-added Tax and
Consumption Tax 180
6.5.5 Total Import Cost 181
6.6 Price Clause in Sales Contract 181
【Key Terms and Words】 182
【Exercises】 182
Chapter 7 Credit Instruments 184
7.1 Summary of Instruments 186
7.1.1 Definition of Instruments 186
7.1.2 Essential Features of
Negotiable Instruments 186
7.1.3 Functions of Negotiable
Instruments 187
7.1.4 The Legal System of
Instruments 188
7.2 Bill of Exchange (Draft, Bill) 190
7.2.1 Definition of Bill of
Exchange 190
7.2.2 Contents of a Bill of
Exchange 191
7.2.3 The Acts of Bills of
Exchange 195
7.2.4 The Classification of the
Drawer 199
7.2.5 The Order of Making
Recourse 200
7.3 Promissory Note 201
7.3.1 The Definition from Bills of
Exchange Act 1882 of the United
Kingdom 201
7.3.2 The Definition from the Negotiable
Instruments Law of the People’s
Republic of China 201
7.3.3 The Key Elements in the
Promissory Note 202
7.3.4 Classification of Promissory
Notes 202
7.3.5 Differences Between a Promissory
Note and a Bill of Exchange 203
7.4 Check (Cheque) 204
7.4.1 Definition of Check 204
7.4.2 Classification of Check 205
7.4.3 Differences Between a Check and
a Bill of Exchange 205
【Key Terms and Words】 206
【Exercises】 206
Chapter 8 International Payment and
Settlement 210
8.1 Remittance 212
8.1.1　The Definition of Remittance 212
8.1.2　Parties to an Remittance 212
8.1.3 The Classification of Remittance 213
8.1.4 Reimbursement of Remittance
Cover 216
8.1.5 Cancel the Remittance or Refund
the Imbursement 217
8.1.6 The Application of Remittance
in International trade 218
8.2 Collection 220
8.2.1 Definition of Collection 221
8.2.2 Nature of Collection 221
8.2.3 Procedure of Documentary
Collection 221
8.2.4 The Involved Parties in
Collection 222
8.2.5 Types of Collection 222
8.2.6 The Property, Advantages
and Disadvantages 225
8.2.7 The Rules of Uniform Rules
for Collections 522 (URC522) 225
8.2.8　Points for Attention for
Collection 226
8.2.9 Risk and Protection for Exporters
and Importers 226
8.2.10 Financing under the
Collection 227

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