57 The foreign commercial invoice shows a value of $7200 with an addition of $800 for “distributor fee,” for a total invoice value of $8000. The fee charged by the seller was to compensate the exclusive U.S. distributor who, by agreement with the foreign seller, receives 10% of all sales in the U.S. as a commission. They receive this regardless of whether or not they actually make the sale. The $800 is _____.
A. not part of Transaction Value
B. a buying commission to be added to the price actually paid or payable
C. a buying commission; part of the price actually paid or payable
D. a selling commission to be added to the price actually paid or payable
E. a selling commission; part of the price actually paid or payable
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The Answer is: The foreign commercial invoice shows a value of $7200 with an addition of $800 for “distributor fee,” for a total invoice value of $8000. The fee charged by the seller was to compensate the exclusive U.S. distributor who, by agreement with the foreign seller, receives 10% of all sales in the U.S. as a commission. They receive this regardless of whether or not they actually make the sale. The $800 is _____.
Citation: E
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