Following CBLE question is the focus of this video:

What is the calculation of transaction value of a shipment with the following details?

$1,880,000 entered amount, CIF Pittsburgh, PA Duty Paid, MPF included. Price includes $30,000 ocean freight, $3,500 marine insurance, $2,000 trucking freight (Pittsburgh, PA to New York), $150 customs broker’s fee in Baltimore, $110,000 customs duties and fees. The actual duty rate is 8.3 percent. The actual MPF rate is 0.21 percent.

A. Entered amount minus ocean freight, marine insurance, trucking freight, and customs broker fee; add MPF and 8.3 percent duty

B. Entered amount minus ocean freight, marine insurance, trucking freight, and customs broker fee. Divide remainder by 1.0851 (1 plus actual duty rate plus actual MPF rate). Multiply the remainder by .0021 (actual MPF rate). Subtract $485 (MPF maximum) from the entered amount minus the authorized deductions. Divide the remainder by 1.083 (1 plus actual duty rate)

C. Entered amount minus ocean freight, marine insurance, trucking freight, maximum MPF, and 8.3 percent actual duty rate

D. Divide out the actual duty rate, then subtract the ocean freight, marine insurance, trucking freight and customs broker’s fee

E. Entered amount minus ocean freight, marine insurance, and trucking freight fee and divide by 1.0851, multiply by .0021 for actual MPF; subtract MPF as allowed from the entered amount minus deductions and divide by 1.083

Correct Answer: (B).

#Code of Federal Regulations (CFR) Title 19
#Part 152

CBLE Link: https://www.lawcustoms.com/wp-content/uploads/2025/02/102014-CBE-Exam.pdf