Transportation Operations LINCS Practice Exam

Which document is created by sellers to indicate shipment details for customs?

1. Commercial Motor Vehicle

2. Commercial Invoice

3. Consular Invoice

4. Contract

The correct answer is: Commercial Invoice

A commercial invoice is the document that sellers create to provide detailed information regarding the shipment of goods for customs purposes. This invoice includes essential details such as the description of the goods, their value, the shipping terms, and the parties involved in the transaction. It serves not only as a proof of sale but also satisfies customs authorities’ requirements for importing and exporting goods. The commercial invoice is critical for the customs clearance process, as it aids in calculating duties and taxes owed on the shipment, ensuring compliance with trade regulations. It also establishes the transaction between the seller and buyer, making it an integral part of international trade operations. In contrast, a commercial motor vehicle refers to a type of vehicle used for transporting goods, and a contract generally relates to legal agreements between parties, without specifically addressing shipment details for customs. A consular invoice, while related to international shipping, is primarily used in certain countries to certify the invoice through a consulate rather than directly for customs purposes like the commercial invoice does.