37. What is the dutiable value based upon the following information? Gemma Jones, a sole proprietor doing business as GJ Imports, wants to begin importing woven furniture but is unable to travel to Asia on a buying trip. The proprietor hires Far East Trading, an established purchasing company, to travel to Asia and make several designated purchases in the proprietor’s behalf. The first shipment arrives and is invoiced with the following information: Per contract 121622; 23 Crates furniture; U.S. $121,900.00; Includes Rattan Chairs, Rattan Tables, Bamboo Stands, and: o Ocean freight and marine insurance ($22,000), o Far East Trading 5% commission, and o All charges and commissions are included in the invoice price payable via letter of credit, Bank of England to Far East Trading.
A) U.S. $121,900.00, net.
B) U.S. $121,900.00, minus freight, insurance, and commission.
C) U.S. $121,000.00, minus commission only.
D) U.S. $121,900.00, minus freight, and insurance only.
E) U.S. $121,900.00 plus freight, insurance, and commission.
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The Answer is: D
Citation: 19 CFR 152.102 and 152.103
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