Which statement about CIF Incoterm is true?

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Multiple Choice

Which statement about CIF Incoterm is true?

Explanation:
CIF is a maritime term where the seller covers all costs, insurance, and freight to bring the goods to the named port of destination, and the risk passes to the buyer when the goods are on board the vessel. This is why the statement is true: it directly reflects the seller’s obligations under CIF—costs, insurance, and freight up to the destination port. CIF applies only to sea or inland waterway transport, and it does not end at the port of shipment, it does not use Delivered At Place (DAP), and it does not eliminate freight charges; freight is included as part of the seller’s responsibilities.

CIF is a maritime term where the seller covers all costs, insurance, and freight to bring the goods to the named port of destination, and the risk passes to the buyer when the goods are on board the vessel. This is why the statement is true: it directly reflects the seller’s obligations under CIF—costs, insurance, and freight up to the destination port. CIF applies only to sea or inland waterway transport, and it does not end at the port of shipment, it does not use Delivered At Place (DAP), and it does not eliminate freight charges; freight is included as part of the seller’s responsibilities.

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