Foreign Trade Zones & Warehouses
October 2020 (AM) — Question 70
ACME Bottling imports plastic polyethylene terephthalate (PET) chips, which are entered into an FTZ under weekly entry procedures. While in the FTZ, the PET chips are manufactured into plastic bottles for Crazy Cola. Each day’s production of bottles is removed from the FTZ and delivered to Crazy Cola on a daily basis. For recordkeeping purposes, ACME tracks production and shipments from Sunday through Saturday. Every Tuesday, ACME provides their broker with final production records for the previous week to file entries on the previous week’s actual production. Which statement is CORRECT?
- AACME may file its entries for the week on Monday because Sunday falls on the weekend
- BACME may file its entries for the week on the Tuesday after production, once accurate production records are available
- CACME may file one weekly entry before Sunday using a pro forma invoice. Once the production records are finalized, ACME may file an entry for the actual number of units that were manufactured and transferred out of the zone
- DACME may need to file more than one entry for the week✓ CBP's answer
- EACME must file a new entry every time merchandise is removed from the zone
CBP's cited authority
Answer and citations as published in CBP's official answer key for the October 2020 (AM) examination.
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