Progetto Clil - DIRITTO ed ECONOMIA DELL’AZIENDA

TEST – SALES CONTRACT, TERMS OF AGREEMENT, INVOICING

3’ E ERICA

The use of a dictionary is not permitted

Exercise n. 1

For each condition reported below, write in the blanks theessential or accessory terms of agreement they refer to:

a / On evidence
b / Net weight
c / At the seller’s warehouse
d / Cash on delivery
e / At 45 days from receipt of invoice

Exercise n. 2

Considering a contract of sale, which sentences are True:

1 / A person or an enterprise, called purchaser, needs to buy goods / True / False
2 / When the counter-offer is accepted by a party, the contract is drawn up / True / False
3 / If one of the two parties does not carry out his obligations the contract is no longer valid / True / False
4 / Onerous means that the goods must be delivered on time / True / False

Exercise n. 3

What are the duties of the seller?

a______

b______

c______

Exercise n. 4

Write at least 4 means of payments:

Exercise n. 5

- A supplier is …

a subject who needs goods

a family

a company that provides goods for shops and businesses

a company where you can borrow money

an enterprise who pays for the things it buys

- Quotation is: …

to give someone money

a statement showing how much it will cost to buy something

to deliver goods by rail

to look at a catalogue

- The customer is

someone whose job is to deliver goods

someone who buys things from a shop or company

the sales manager

Exercise n. 6

- Read the following sales contract:

- Select the specific conditions of sale from the contract and write them in the proper place below:

Quantity:Quality:

Price:Delivery:

Transport:Packing:

Payment:

Exercise n. 7

Rounding to 2 decimal places, compute the following Vat

PRICE OF GOODS / VAT RATE / VAT
12,500.44 / 4% / ______
1,250.50 / 10% / ______
45,800.00 / 20%

Exercise n. 8 – Invoice

On 11 March 2005 the wholesaler Antonio Bartoli from Livorno sold to the retailer Francesco Romei from Pisa the following goods:

/ 500 items "A121" priced at €5.00 each, Vat charged at 20%;
/ 400 items "B014" priced at €8.50 each, Vat charged at 20%.

The delivery was agreed to be received at the buyer’s warehouse; the buyer is required to deposit caution money of €250 for returnable packing. Transport was carried out by the seller’s lorry on the same day leaving at 2.00 p.m. and charged for €400. the payment is due at 45 days by cheque.

Exercise n. 9

Answer the following questions:

a) Why are the essential terms of a sales contract more important than the accessory terms?

b) Who runs the risks for transport when the parties have agreed to deliver the goods to the buyer’s warehouse?

c) Why does the buyer take more advantage of a deferred deadline?

Exercise n. 10

Write in the correct time order the following words regarding a contract of sale

Payment / Order / Quotation
Invoicing / Despatch / Delivery