Transportation Decision Transportation decision consists of the following parts: 1.Selection of the mode is determined by the consideration of distance,cargo weights,linkage,timing and other requirements.Generally speaking,rail has high fixed cost and the relatively low variable cost.It can move heavy,large quantity of cargo in the long distance.But,rail is disadvantaged because of the longer transit time and less frequent service than motor. Motor carriers such as truck companies offer door-to-door service,that is,the cargo can be shipped from the shipper＇swarehouse to the consignee＇s.Trucking fixed cost is the lowest of any carrier,because the equipment is fairly cheap and the motor carriers do not have to invest in the roads on which they run their operations.However,their variable costs are very high.Its expenses include two major components:firstly,the pick-up and delivery costs;secondly,there are gas or fuel costs,labor expenses and toll roads fees to be paid to highway and toll road operators Therefore,motor transport is good for cargo with small quantity to be shipped within short distances. Water is the predominant choice of transportation as it has the capacity to take greatest quantity,travel longest distance with lowest cost.Transport by sea accounts for 80% of in-ternational trade.The major expenses for water are expenses associated with investment and maintenance of the ships and terminals.For example,a 100000-ton container ship costs US$ 200 million.Terminal associated costs include harbor fees and the cost for loading and unloading the goods. Transport by air has the highest cost but it is fast with the lowest ratio of loss and dam-age.If you need to deliver an urgent order,there is little choice but by air. 2.Transport service provider is selected for its experiences,equipment,services and prices.Competitive in the transport industry usually drives the prices down and motivates for better services.A company also chooses its transport service provider because of its long-standing business relationship with certain shipping companies. 3.The alternative routing and scheduling is specific for motor only because railway and water have strict route and timetable.Motor has special advantage in terms of flexibility.It has the ability to load goods at greater frequency,travel through different routes and making deliveries to different loca-tions.Questions:

Which mode account for most delivery in international trade?( )

A:By railway. B:By water. C:By air. D:By trucks.

What is logistics? In the current business environment,logistics is generally accepted as a very important element for the economic development and business growth of a region,especially a port city. In reality,what does logistics mean?In which way does it operate? For simple definition,logistics is a set of procedures in which commodity is delivered in an efficient manner from suppliers to customers.There are three key aspects to the concepts: 1．Movement of goods Goods can be considered as valuable objects,such as cargo and materials that are valua-ble and purchasable through commercial transactions and processes.Flow can be determined as methods in which goods are moved or transferred between locations,intermediaries and merchandisers.Modes of transportation include motor,rail,water,air and pipeline. 2.Direction of the flow of goods In the open market place,buyers and sellers represent two ends of a commercialtrans-action.Buyers are usually customers who demand the goods,while,as sellers are suppliers who provide such goods.When a transaction is agreed upon (sometimes payment is comple-ted,other times the payment is arranged to be completed at a later stage),the suppliers have the responsibility to arrange for the goods to be delivered to the customers. 3.Efficient management of the flow process The transportation of goods should bear low cost and ensure safety and punctuality.It should do its best to avoid wasting customers＇resources.Currently,the flow of goods is generally controlled by both hardware and software.By hardware,we mean logistics facili-ties and equipment,such as ports,warehouses and trucks,ships,railroad,cars and air-lines.By software,we mean information system,standardization and data sharing.Questions:

,Which of the following is a key aspect of logistics?( )

A:Goods. B:Customers. C:Suppliers. D:Movement of goods.

What is logistics? In the current business environment,logistics is generally accepted as a very important element for the economic development and business growth of a region,especially a port city. In reality,what does logistics mean?In which way does it operate? For simple definition,logistics is a set of procedures in which commodity is delivered in an efficient manner from suppliers to customers.There are three key aspects to the concepts: 1．Movement of goods Goods can be considered as valuable objects,such as cargo and materials that are valua-ble and purchasable through commercial transactions and processes.Flow can be determined as methods in which goods are moved or transferred between locations,intermediaries and merchandisers.Modes of transportation include motor,rail,water,air and pipeline. 2.Direction of the flow of goods In the open market place,buyers and sellers represent two ends of a commercialtrans-action.Buyers are usually customers who demand the goods,while,as sellers are suppliers who provide such goods.When a transaction is agreed upon (sometimes payment is comple-ted,other times the payment is arranged to be completed at a later stage),the suppliers have the responsibility to arrange for the goods to be delivered to the customers. 3.Efficient management of the flow process The transportation of goods should bear low cost and ensure safety and punctuality.It should do its best to avoid wasting customers＇resources.Currently,the flow of goods is generally controlled by both hardware and software.By hardware,we mean logistics facili-ties and equipment,such as ports,warehouses and trucks,ships,railroad,cars and air-lines.By software,we mean information system,standardization and data sharing.Questions:

Which of the following is a transportation mode for goods delivery?( )

A:Clothes. B:Services. C:Motor. D:Electricity.

There (are) not many people in this city (which) (own) the houses they (live in).

A:are B:which C:own D:live in

"Which vessel is underway according to the Rules?_____．

A:A vessel made fast to a single point mooring buoy B:A purse seiner hauling her nets C:A pilot vessel at anchor D:A vessel which has run aground"

Reading comprehension.（ 20%）Passage One The foreign exchange market traditionally deals in large quantities of a currency ， such as 100， 000 pounds or 1，000，000 Japanese yen.Small decimal changes in the exchange rate are important ， because each trader wishes to buy another currency at as low a cost as possible and sell it for the maximum amount at any given moment. Trading for prompt delivery is called spot trading ， which means that settlement occurs in two business days.At that time ， the seller of a foreign currency delivers it to the bank account of the buyer， who at the same time pays for it by crediting the bank account of the seller. Trading may also occur for settlement on delivery at any future date.This transaction results in a future or forward contract.A businessman who knows he will be paid for the sale of machinery within thirty days can arrange with his banker today to settle the rate of exchange at which the bank will buy the foreign currency when it is delivered.Trading for future delivery is very common.It reflects the planning time for exports ， imports ， and investments. A bank's foreign exchange trader also buys and sells the actual banknotes and coins.This service is usually offered to accommodate tourists.The rate of exchange for such paper money and coins is less favorable to the customer than the rate of exchange for cable transfers of a large quantity.This is because of the expense involved in handling and storage （since this foreign money is in the form of cash ） . Every nation restricts residents on the use of its currency outside the country.Such restrictions became very common during and immediately after World War II.Specific controls might include limitations on the availability of exchange for overseas investments ， for non-essential or luxury imports ， and for out-of-the-country travel.Some countries maintain a system of multiple exchange rates to encourage particular exports and to limit imports.Under the prodding of the International Monetary Fund， these restrictions have been substantially reduced ， and currencies in recent years have become more freely convertible.

Which of the following is not mentioned in the passage ？____________

A:spot transaction B:forward transaction C:cash transaction D:forms of speculation

Reading comprehension.（ 20%）Passage One The foreign exchange market traditionally deals in large quantities of a currency ， such as 100， 000 pounds or 1，000，000 Japanese yen.Small decimal changes in the exchange rate are important ， because each trader wishes to buy another currency at as low a cost as possible and sell it for the maximum amount at any given moment. Trading for prompt delivery is called spot trading ， which means that settlement occurs in two business days.At that time ， the seller of a foreign currency delivers it to the bank account of the buyer， who at the same time pays for it by crediting the bank account of the seller. Trading may also occur for settlement on delivery at any future date.This transaction results in a future or forward contract.A businessman who knows he will be paid for the sale of machinery within thirty days can arrange with his banker today to settle the rate of exchange at which the bank will buy the foreign currency when it is delivered.Trading for future delivery is very common.It reflects the planning time for exports ， imports ， and investments. A bank's foreign exchange trader also buys and sells the actual banknotes and coins.This service is usually offered to accommodate tourists.The rate of exchange for such paper money and coins is less favorable to the customer than the rate of exchange for cable transfers of a large quantity.This is because of the expense involved in handling and storage （since this foreign money is in the form of cash ） . Every nation restricts residents on the use of its currency outside the country.Such restrictions became very common during and immediately after World War II.Specific controls might include limitations on the availability of exchange for overseas investments ， for non-essential or luxury imports ， and for out-of-the-country travel.Some countries maintain a system of multiple exchange rates to encourage particular exports and to limit imports.Under the prodding of the International Monetary Fund， these restrictions have been substantially reduced ， and currencies in recent years have become more freely convertible.

Which of the following statement is true according to the passage ？ ________

A:Small changes in the exchange rate do not matter to foreign exchange traders. B:The rate of exchange for paper money and coins is more favorable because they are actualforeign exchange. C:Forward rate is settled by a contact between a businessman and the bank. D:Every nation reduces restrictions on the use of foreign exchange to encourage exports and limitimports.

Reading comprehension.（ 20%）Passage One The foreign exchange market traditionally deals in large quantities of a currency ， such as 100， 000 pounds or 1，000，000 Japanese yen.Small decimal changes in the exchange rate are important ， because each trader wishes to buy another currency at as low a cost as possible and sell it for the maximum amount at any given moment. Trading for prompt delivery is called spot trading ， which means that settlement occurs in two business days.At that time ， the seller of a foreign currency delivers it to the bank account of the buyer， who at the same time pays for it by crediting the bank account of the seller. Trading may also occur for settlement on delivery at any future date.This transaction results in a future or forward contract.A businessman who knows he will be paid for the sale of machinery within thirty days can arrange with his banker today to settle the rate of exchange at which the bank will buy the foreign currency when it is delivered.Trading for future delivery is very common.It reflects the planning time for exports ， imports ， and investments. A bank's foreign exchange trader also buys and sells the actual banknotes and coins.This service is usually offered to accommodate tourists.The rate of exchange for such paper money and coins is less favorable to the customer than the rate of exchange for cable transfers of a large quantity.This is because of the expense involved in handling and storage （since this foreign money is in the form of cash ） . Every nation restricts residents on the use of its currency outside the country.Such restrictions became very common during and immediately after World War II.Specific controls might include limitations on the availability of exchange for overseas investments ， for non-essential or luxury imports ， and for out-of-the-country travel.Some countries maintain a system of multiple exchange rates to encourage particular exports and to limit imports.Under the prodding of the International Monetary Fund， these restrictions have been substantially reduced ， and currencies in recent years have become more freely convertible.

Which of the following is not a fact of exchange control ？

A:Limitations on the supply of exchange for overseas spending. B:A system of multiple exchange rates to encourage particular exports and to limit imports. C:These restrictions have been substantially increased. D:Currencies in recent years have become more freely convertible.