October 2019 — Question 49
Which of the following costs should NOT be added to the price actually paid or payable to determine the transaction value for an entry of plush toys of a popular cartoon character?
- AThe cost of several high-speed sewing machines provided free of charge by the U.S. buyer/importer to the foreign manufacturer/exporter to sew the plush toys
- BThe sewing pattern designed in Canada, which is provided free of charge by the U.S. buyer to the foreign manufacturer
- CThe shipping costs paid by the U.S. buyer to import the plush toys✓ CBP's answer
- DThe packing costs paid by the U.S. buyer
- EThe royalty fees related to the plush toys which the U.S. buyer is required to pay as a condition of the sale
CBP's cited authority
§ 19 CFR 152.103(b)
Answer and citations as published in CBP's official answer key for the October 2019 examination.
Reading answers is easy. The exam is 80 of these in 4.5 hours.
Pass rates run 12–30%. Find out in 15 minutes whether you'd clear the 75% line today — free, no signup.