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Supply Chain Management Professional (SCMP) · Question

Which incoterm places the maximum responsibility on the buyer, including all costs and risks from the seller's premises?

EXW means the seller makes the goods available at their own premises, and the buyer assumes all costs and risks thereafter.

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Question: Which incoterm places the maximum responsibility on the buyer, including all costs and risks from the seller's premises?

Answer options: ✅ EXW (Ex Works)

  • FOB (Free On Board)
  • CIF (Cost, Insurance and Freight)
  • DDP (Delivered Duty Paid)

Correct answer: EXW (Ex Works)

Explanation: EXW means the seller makes the goods available at their own premises, and the buyer assumes all costs and risks thereafter.

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