1. Project Ⅱ Task 6 Commercial Invoice

2. A commercial invoice is a bill for the goods from a seller to a buyer. It is the key accounting document describing the commercial transaction between the seller and the buyer and is often used by governments to determine the true value of goods when customs duties. Commercial invoices are one kind of the most important documents in foreign trade. In general there is no standard form for a commercial invoice although they tend to contain many of the following features: I. Commercial Invoice assess v. 估定, 评定

3. ◎ the names and addresses of seller and buyer The names and addresses of seller and buyer should be the same as they are stated in the credits. It must appear to have been issued by the beneficiary of the credit and must be made out in the name of the applicant of the credit except the following case: in a transferable letter of credit, the invoice can be issued by the second beneficiary and can be addressed to a third party. ◎ date of issuance The date of issuance can be earlier than the issuance date of the credit but can not be later than the expiry date of the credit and the latest day of presentation. ◎ invoice number It is numbered by the seller who issues the invoice. ◎ contract and L/C number L/C number may not be shown if there is no requirement by the credit. Section 2 I. Commercial Invoice

4. ◎ unit price and total amount State clearly the unit price and total amount. The unit price and total price must comply with the specification of the credit. The currency, unit, amount and trade term should be included in the unit price, for example USD35 PER DOZ, FOB GUANGZHOU. The commercial invoice must be made out in the same currency as the credit. The nominated bank, the confirming bank and the issuing bank may accept a commercial invoice issued for an amount in excess of the amount permitted by the credit, and its decision will be binding upon all parties, provided the bank in question has not honored or negotiated for an amount in excess of that permitted by the credit. When a letter of credit specifies “about” or “approximately” related to the currency amount and quantity, the invoice may specify an amount equal to plus or minus 10% of the stipulated amount of the credit. Section 2 I. Commercial Invoice

5. ◎ description of goods The description of the goods, services or performance in a commercial invoice must correspond precisely with that appearing in the credit. For example, the goods are described as “Sunny electric-fan” in the credit, such description shall be shown exactly the same in the invoice. ◎ shipping details Sometimes shipping details should be included in the invoice, such as transportation information (from...to...), shipping mark, packing. Section 2 I. Commercial Invoice

6. ◎ other special requirement Some special information may be required in the letter of credit, for example, the credit stipulates that the commercial invoice should bear the following clause: “this invoice is authentic”, therefore, the sentence “this invoice is authentic” must be shown in the invoice as requested. If a signature of invoice is required by the credit, the invoice should be signed. Following is an example of a commercial invoice. Section 2 I. Commercial Invoice KARRIC TRADING CO., LTD No.236 Baiyun Road, Guangzhou, China Commercial Invoice INVOICE NO:INV0789A TO: COKTEL LABELMAKERS LTD DATE: JULY.25.2008 785 AUSTRAK STREET, SOMERTON, AUSTRALIA L/C NO.: FGK200824596 CONTRACT NO.: GOBB234789A

7. Section 2 I. Commercial Invoice SHIPPPED FROM GUANGZHOU, CHINA TO MELBOURNE,AUSTRALIA PAYMENT TERM: L/C AT 60 DAYS AFTER MARINE BILL OF LADING DATE GOODS DESCRIPTION COUNTRY OF ORIGIN: P.R. CHINA SAY: U.S. DOLLARS TWENTY TWO THOUSAND SEVEN HUNDRED NINE AND CENTS TWENTY EIGHT ONLY. Name and SpecificationQuantityUnit Price (USD/ MT) Total Amount (USD) Name: BIAXIALLY ORIENTED POLYPROPYLENE FILM Specification: LAF60MIC × 1020MM × 4000M RollsM/T3,400.0022,709.28 CIF MELBOURNE AUSTRALIA 446.6792 Total446.67923400.0022,709.28