Under FOB Point of Origin, Freight Collect, who pays for freight and who arranges the shipment?

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Multiple Choice

Under FOB Point of Origin, Freight Collect, who pays for freight and who arranges the shipment?

Explanation:
FOB origin means the buyer takes ownership and risk once the goods leave the seller’s premises, while the seller is responsible for getting the goods to the carrier. Freight Collect means the recipient (the buyer) pays the freight charges to the carrier. Putting these together, the buyer is responsible for paying the freight, but the seller handles arranging the shipment—selecting the carrier and getting the goods onto the transport. This combination matches the idea that the seller moves the goods to the carrier at origin, while the buyer covers the shipping cost.

FOB origin means the buyer takes ownership and risk once the goods leave the seller’s premises, while the seller is responsible for getting the goods to the carrier. Freight Collect means the recipient (the buyer) pays the freight charges to the carrier. Putting these together, the buyer is responsible for paying the freight, but the seller handles arranging the shipment—selecting the carrier and getting the goods onto the transport. This combination matches the idea that the seller moves the goods to the carrier at origin, while the buyer covers the shipping cost.

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