Olu purchased goods from Yemi and he is to pay custom duties before collection. The...
Olu purchased goods from Yemi and he is to pay custom duties before collection. The goods are likely to be collected from
- A) a manufacturer's warehouse
- B) bonded warehouse
- C) an importers warehouse
- D) a wholesaler's warehouse
Correct Answer: B) bonded warehouse
Explanation
When goods are imported into a country, they need to go through customs clearance, which involves paying custom duties. Custom duties are taxes imposed on imported goods by the government. After the custom duties are paid, the goods can be released and collected by the buyer.In this question, Olu purchased goods from Yemi and needs to pay custom duties before collecting them. The correct option is B: bonded warehouse. A bonded warehouse is a secure facility where imported goods can be stored before the custom duties are paid. It is called a bonded warehouse because it is bonded or secured by the customs authority.
By choosing option B, Olu will go to a bonded warehouse to collect the goods he purchased from Yemi after paying the custom duties. This ensures that the goods are legally cleared and ready for collection.
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