ITT Exercises - Freight Transportation.pdf

# The rate is can 5000100 lb trucking charges 50 x can

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The rate is CAN \$50.00/100 lb Trucking charges = 50 x CAN \$50.00 = CAN \$25.00 100 lb The trucking charge is under the MINIMUM charge of CAN \$125.00, therefore the freight charge is the minimum charge of CAN \$125.00.

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Answers Land Transportation Page | 65 2017 4. Your customer has 6 skids of paper for delivery from terminal Toronto to Bowmanville. Each skid weighs 1,600 lb and has dimensions of 38 in x 20 in x 58 in. Step 1 : determine the actual weight of the shipment. 1,600 lb x 6 = 9,600 lb Step 2: determine the volume weight of the shipment. (L x W x H x P) ÷ 1,728 (converts from in 3 to ft 3 ) x 10 lb/ft 3 = (38 x 20 x 58 x 6) ÷ 1,728 x 10 = 153.06 x 10 = 1,530.60 lb Step 3 : determine the chargeable weight. Actual weight = 9,600 lb Volume weight = 1,530.60 lb Therefore, chargeable weight is the actual weight = 9,600 lb (the higher of the actual vs. the volume weights) Step 4: determine the freight charge. The rate is CAN \$12.20/100 lb Trucking charges = 9,600 x CAN \$12.20 = CAN \$1,171.20 100 lb What would happen if we charged the customer for 10,000 lb of freight instead of 9,600 lb? 10,000 lb x CAN \$8.54 = CAN \$854.00 100 lb According to the above calculations, it is sometimes cheaper for the forwarder to declare a higher weight of cargo. This is often referred to as the weight break.
Answers Land Transportation Page | 66 2017 Exercise 3.6 (Answer) Using the information below, make any necessary corrections or additions to the following truck bill of lading. All rates are taken from the CIFFA Logistics Trucking Chart, Appendix “ D. 1. Details: 12 skids of fresh cut flowers (in 144 cartons) x Dims of each skid are 48 in x 40 in x 36 in x Weight of each skid is 290 lb x Routing is Toronto to Niagara Falls x Value for carriage is CAN \$25,500.00 x Shipper is Can-Flower Ltd., Toronto x Consignee is Niagara Floral Ltd. Actual weight: 3,480 lb Volume weight: 4,800 lb Freight charge: CAN \$907.20 Weight break: CAN \$831.50

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Answers Land Transportation Page | 67 2017 DB TRUCKING INC. 14500 Highway 50, Bolton, ON, Canada L7L 7L7 905-500-5000 1-800-345-5000 Bill of Lading - ORIGINAL #1 NOT NEGOTIABLE - PRIORITY: ; EXPRESS (24 hours): REGULAR (48 hours): PREPAID: ; Charge Shipper’ s Account COLLECT: Charge Consignee’s Account BILL 3 rd PARTY: Account # Shipper’s Account No.: DB12344321 Consignee’s Account No.: None Carrier’s Reference No.: DB9897943 Shipper’s Reference No.: 3456 4567 Carrier: DB Trucking Inc. Date: Oct. 16, 2017 Consignee: Niagara Floral Ltd. Shipper: Street: 1200 Military Rd. Street: 50 Royal York Rd. City/Prov.: Niagara Falls City/Prov.: Toronto, ON Country: Canada Country: Canada Postal Code : S5J 3L1 Postal Code: M4M 4M4 Tel: 905-297-2020 Tel: 416-760-1010 DECLARED VALUE: INSURANCE: NONE No. of Units and Container Type DG Description OR Proper Shipping Name, Class, Identification Number, Packing Group Total Quantity Total Weight □ kg ; lb Charge Weight Rate (per 100) Freight Charges (CAD) X 4,800 12 skids Fresh cut 144 flowers ctns Instructions: Keep cool. Type and Number of Placards: Not applicable Emergency Response Assistance Plan Number (ERAP): Not applicable 24-HOUR NUMBER: Not applicable SHIPPER Date: 16OCT17 Time: 11:30 a.m. Signature: DRIVER Date: Time: Signature: THIS BILL OF LADING IS SUBJECT TO THE TERMS AND CONDITIONS OF THE TRUCK TRANSPORTATION ACT, REGULATION 1087 AND OUR STANDARD TRADING CONDTIONS (see reverse).
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• Fall '18
• Jane Smith
• freight forwarder, Commercial item transport and distribution, CIFFA, Ocean Transportation Intermediary

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