Sample customs broker license exam
Sample Customs Broker License Examination
The following 10 sample questions were compiled from the April test administered by the U.S. Customs and Border Protection. One question is listed for each category, with the exception of the Entry section, the largest section of the test (The Classification section is 17 questions, but we figured you might not have your Harmonized Tariff Schedule handy).
Check your answers at the bottom. A passing score on the 80-question test is 75 percent. How will you do?
Section 1 – ENTRY (Questions 1-32)
1) A Government Agency establishes an ultimate consignee number with CBP by filing a properly executed:
A. CBP Form 19
B. CBP Form 3461
C. CBP Form 5106
D. CBP form 5291
E. Internal Revenue Service Schedule Form 1099
2) Who is the ultimate consignee for a formal entry when U.S. Company (1) places an order with an overseas shipper and then sells the goods to U.S. Company (2) in a domestic transaction prior to the importation? The invoice issued by the overseas shipper states 'sold to: U.S. Company (1)' and 'ship to: U.S. Company (2).' The consignee on the bill of lading is U.S. Company (2).
A. The overseas shipper
B. U.S. Company 2
C. The U.S. Customs broker
D. U.S Company 1
E. The domestic common carrier
3) With the exception of bulk and certain bulk-break cargo, the Importer Security Filings for immediate export or transportation and exportation in-bond shipments must be submitted no later than 24 hours _____.
A. prior to arrival of laden cargo from foreign port
B. after the cargo is laden aboard vessel destined to the U.S.
C. before the cargo is laden aboard a vessel destined to the U.S.
D. prior to departure of vessel from foreign port
E. after departure of vessel from foreign port
Section 2 – CLASSIFICATION (Questions 33-49)
4) What is the classification of women's size three golf shoes with outer soles of rubber and uppers of cow leather and not welt construction.
Section 3 – WAREHOUSE (Questions 50-55)
5) The operator of a foreign trade zone has _____ to prepare a reconciliation report after the end of the zone/subzone year unless the port director authorizes an extension for reasonable cause.
A. 30 calendar days
B. 30 business days
C. 90 calendar days
D. 120 days
E. 180 days
Section 4 – TRADE AGREEMENTS (Questions 56-66)
6) Which is NOT a program providing special tariff treatment?
A. Automotive Products Trade Act
B. Caribbean Basin Economic Recovery Act
C. Agreement on Trade in Civil Aircraft
D. Eastern Bloc Human Rights and Tariff Reduction Act
E. Generalized System of Preferences.
Section 5 – Fines, Penalties, and Forfeitures (FP&F) (Questions 67-68)
7) The maximum monetary civil penalty that CBP may assess against an individual for a fraudulent violation of Section 592 of the Tariff Act of 1930, as amended, when the circumstances of the violation were not disclosed, is _____.
A. an amount not to exceed the domestic value of the merchandise.
B. any amount the port director of CBP imposes.
C. 40% of the dutiable value of the merchandise if there is no loss of duties.
D. the lesser of the domestic value of the merchandise or 4 times the loss of duties.
E. two times the lawful duties of which the United States is or may be deprived.
Section 6 – VALUATION (Questions 69-72)
8) An importer may submit a written request for an explanation of how CBP determined the value of its imported merchandise within _____ days after liquidation.
A. 90 calendar
B. 90 business
C. 120 calendar
D. 180 calendar
E. 314 calendar
Section 7 – BROKER COMPLIANCE (Questions 73-76)
9) Mr. Smith, an individually licensed broker and Vice President of Quick Imports, resigns his position and employment. Quick Imports, a corporate Customs broker, shall obtain the employment of an individually licensed broker who will also serve as an officer of Quick Imports within _____ days of Mr. Smith's resignation before Quick Imports' license is revoked by operation of law.
Section 8 ' QUOTA (Questions 77-80)
10) A shipment of shirts manufactured in Thailand and subject to absolute quota arrives in the U.S. You find that the quota for this merchandise from Thailand is closed, but the quota for Mexico is open. Which of the following describes the appropriate action for the importer?
A. Export the merchandise to Mexico and re-import into the U.S. as a product of Mexico.
B. Request a visa waiver from the Thai embassy.
C. Make a warehouse entry.
D. Request quota priority status.
E. Make a consumption entry and pay column 2 rates.
PENCILS DOWN! Check your answers (Hopefully you bubbled your answer sheet correctly!)
1) C — 19 CFR 24.5(a)
2) D — Customs Directive 3550-079A (Ultimate Consignee at Time of Entry Release) 6.3 and 8.4
3) C — 19 CFR 149.2
4) D — HTS Ch. 64, Statistical Note 1(c)
5) C — 19 CFR 146.25(a)
6) D — HTS General Note 3(c)(i)
7) A — 19 CFR 162.73(a)(1)
8) A — 19 CFR 152.101(d)
9) D — 19 CFR 111.45(a)
10) C — 19 CFR 132.5'