October 2014 Exam Preliminary Answers

Click here to get our preliminary exam answers.


Our preliminary answers will be available for free tomorrow. (UPDATE: free preliminary answers are now available.)

If you are interested in a deeper dive, we also are making our preliminary commentary available today for a small fee.

If you are an exam student on bcpLearning, the preliminary commentary will be available free on our message boards, so be sure to check there instead of buying.


As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in the coming weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; they merely are presented as a helpful tool for broker students who are eager to have any idea of where they stand.


If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog.

Thank you for your patience and interest, and thanks for choosing Boskage!

October 2014 Preliminary Answers - Status

Another Broker's Exam is upon us . . . and with it, another round of preliminary answers from Boskage!

We will be posting our October 2014 preliminary answers (without commentary) for free through our site www.boskage.com, approximately 10 days after the exam.  Watch this space for the FREE download.

We will also post the answers with commentary through our online course at www.bcplearning.com to all our broker exam preparation students.  (Answers with commentary will be available for non-Boskage students for a fee.)

April 2014 Preliminary Answers

Click here to get our preliminary unofficial exam answers as a free download from our online checkout system.

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As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in the coming weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; they merely are presented as a helpful tool for broker students who are eager to have any idea of where they stand.


If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog.

Thank you for your patience and interest, and thanks for choosing Boskage!

April 2014 Preliminary Answers - Status

Another Broker's Exam is upon us . . . and with it, another round of preliminary answers from Boskage!

We will be posting our April 2014 preliminary answers (without commentary) for free through our site www.boskage.com, approximately 10 days after the exam.  Watch this space for the FREE download.

We will also post the answers with commentary through our online course at www.bcpLearning.com to all our broker exam preparation students.  (Answers with commentary will be available for non-Boskage students for a fee.)

4/16/2014 UPDATE -- We plan to post preliminary answers on Thursday, April 17. 

4/18/2014 UPDATE -- We posted the preliminary answers yesterday, April 17.

October 2013 CBP Broker Exam Preliminary Answers

Click here to get our preliminary unofficial exam answers as a free download from our online checkout system.



As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in the coming weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; it merely is presented as a helpful tool for broker students who are (quite understandably) eager to have any idea of where they stand.

In three places, we've noted where we think there are errors in the exam itself that merit special attention.

If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog; however, we ask that comments be professional and to the point. We cannot respond to all of the comments, but this forum will provide you an opportunity to converse with each other.

Thank you for your patience and interest, and happy browsing!

October 2013 Customs Broker Exam - Answers Coming Next Week

We're hard at work on the broker exam for October 2013, and expect to post our preliminary answers by next Friday.

UPDATE -- Due to unexpected circumstances, our preliminary answers will not be posted tonight. However, we do not have many more questions to research before we are complete. We expect answers early next week.

Thank you for your continued patience.

NOTICE: The Shutdown and the October 2013 Broker Exam

Because CBP is considered an essential agency, CBP is not as affected by the government shutdown as other federal agencies.  Based on CBP's briefing and AAEI's newsletter, the Customs Broker Exam will proceed on Oct. 7. 

April 2013 Preliminary Answers

Determining potential answers for the broker's exam questions after the test is different in a few key ways from taking the test, but none is more key than the fact that we have more than four hours to give our answers. That means that we can take the time to research as much as we need to in order to get the most accurate (though still unofficial) document possible to all of you.

Click here to get our preliminary unofficial exam answers as a free download from our online checkout system.



As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in a few weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; it merely is presented as a helpful tool for broker students who are (quite understandably) eager to have any idea of where they stand.

If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog; however, we ask that comments be professional and to the point. We cannot respond to all of the comments, but this forum will provide you an opportunity to converse with each other.

Happy browsing!

April 2012 Preliminary Answers

Determining potential answers for the broker's exam questions after the test is different in a few key ways from taking the test, but none is more key than the fact that we have more than four hours. That means that we can take the time to research as much as we need to in order to get the most accurate (though still unofficial) document possible to all of you.

Click here to get our preliminary unofficial exam answers as a free download from our online checkout system.



As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in a few weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; it merely is presented as a helpful tool for broker students who are (quite understandably) eager to have any idea of where they stand.

If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog; however, we ask that comments be professional and to the point. We cannot respond to all of the comments, but this forum will provide you an opportunity to converse with each other.

Happy browsing!

Customs Announces ACE Simplified Entry Pilot Program

U.S. Customs and Border Protection (CBP) recently announced its plan to conduct a National Customs Automation Program (NCAP) test concerning Automated Commercial Environment (ACE) entry capability. According to CBP’s General Notice, the new trial will test entry filing via a process known as Simplified Entry, which will be filed in lieu of filing a Form 3461 or its electronic equivalent.

Simplified Entry is intended to simplify the entry process by allowing participants to submit twelve (12) required and three (3) optional data elements to CBP at any time before the imported goods arrive, as follows:

Required Data Elements

1. Importer of Record
2. Buyer name and address
3. Buyer Employer Identification Number (consignee number)
4. Seller name and address
5. Manufacturer/supplier name and address
6. HTS 10-digit number
7. Country of origin
8. Bill of lading/house air waybill number
9. Bill of lading issuer code
10. Entry number
11. Entry type
12. Estimated shipment value

Optional Data Elements

1. Ship to party name and address
2. Consolidator name and address
3. Container stuffing location

The Simplified Entry may not be filed in lieu of an entry summary, which still must be made in ACE. CBP has limited this initial phase to entries that are not under the admissibility jurisdiction of Other Government Agencies (OGAs). It also will limit to air shipments.

CBP has chosen the following nine brokers to participate in the pilot program, which is expected to begin at the end of 2011/beginning of 2012:

1. A.N. Deringer Inc.
2. Expeditors
3. FedEx Trade Networks
4. FH Kaysing
5. Janel Group of New York
6. Kuehne + Nagel Inc.
7. Livingston International
8. Page & Jones Inc.
9. UPS.

CBP Posts Answer Key to October 2011 Broker Exam

U.S. Customs and Border Protection posted the answer key to the October 2011 customs broker exam. We will review and determine whether any questions are protestable. Exam key can be found at http://www.cbp.gov/linkhandler/cgov/trade/trade_programs/broker/broker_exam/exam_and_key_downloads/oct_11_answer_key.ctt/oct_11_answer_key.pdf

ABI Notice regarding the Classification of Sets

On Oct. 6, 2011, U.S. Customs and Border Protection issued a notice through the Automated Broker Interface regarding sets classified in accordance with GRI 3(b) or 3(c). Specifically, CBP reminded ABI users to report in column 30 the HTSUS number of the part of the set that provides the duty rate for the set when the set is classified pursuant to GRI 3(b) or 3(c). Users should precede this HTSUS number with a SPI of “X.”

However, the set classification does not stop there. Each article included in the set needs to be classified separately and reported on a separate line, as though it was not part of a set. Those articles of the set that do not provide the duty rate for the set as a whole should be preceded with a SPI of “V.” Brokers will also need to report the quantity and value attributed to each article with the “V” SPI.

Here is where you can find this message on the Cargo Systems Messaging Service on CBP’s website: http://apps.cbp.gov/csms/viewmssg.asp?Recid=18488&page=1&srch_argv=&srchtype=&btype=abi&sortby=&sby=

More “Free” Trade Anyone?

Last week, the House Ways and Means Committee approved the bills sponsored by Representative Eric Cantor and a co-sponsor that is the first step in implementing the U.S. Free Trade Agreements with South Korea, Panama and Colombia. The entire House of Representatives and the Senate are expected to vote on the bills the week of October 10.

Congressional action on these agreements has been a long time coming. The parties entered into the U.S.- Korea Free Trade Agreement on June 30, 2007 The U.S.-Colombia Trade Promotion Agreement was entered into on November 22, 2006, as amended by both governments on June 28, 2007 (Colombia TPA). The parties entered into the U.S.- Panama Trade Promotion Act on June 28, 2007 (Panama TPA).

Both the House and the Senate are expected to pass the three bills, referred to as the United States-Korea Free Trade Agreement Implementation Act, the United States- Colombia Trade Promotion Agreement Implementation Act and the United States- Panama Trade Promotion Agreement Implementation Act. Although President Obama is expected to sign the bills into law rather quickly, each Agreement will not take effect until the United States is satisfied that each country will be in compliance with the terms of the Agreements, respectively. For example, there is some concern that labor rights issues could delay the effect date of the Colombia Agreement. It is unlikely that any terms of the agreements will change between now and the enactment date. However, it is doubtful that the Korea FTA, Colombia TPA or the Panama TPA will take effect before the beginning of 2012. It could take up to several months for the President to certify that the countries are in compliance.

Korea FTA H.R. 3080

Colombia TPA H.R. 3078

Panama TPA H.R. 3079

October 2011 Broker Exam - Preliminary Answers

Determining potential answers for the broker's exam questions after the test is different in a few key ways from taking the test, but none is more key than the fact that we have more than four hours. That means that we can take the time to research as much as we need to in order to get the most accurate (though still unofficial) document possible to all of you.

Click here to get our preliminary unofficial exam answers as a free download from our online checkout system.



As always, remember that these answers represent only our opinion. The official answers will come from Customs and Border Protection in a few weeks and will be posted on their site. In other words, we probably answered the majority of the questions correctly, but these answers do not guarantee whether or not you've passed; it merely is presented as a helpful tool for broker students who are (quite understandably) eager to have any idea of where they stand.

If you would like to share your answers, explanations and comments, we invite you to post them as comments to this blog; however, we ask that comments be professional and to the point. We cannot respond to all of the comments, but this forum will provide you an opportunity to converse with each other.

Happy browsing!

Announcement: October 2011 CBP Broker Exam Answers

One common question we're receiving is "Are you/when are you going to post answers to the October Exam?"

Have no fear! We have begun researching and answering questions, and are planning on releasing a preliminary set of answers on Friday.

Proposed Bill Provides Customs Brokers with New Obligation

Senator Claire McCaskill of Missouri introduced a bill entitled the “Fighting for American Industry’s Right to Enforcement Against Duty Evasion Act,” otherwise known as the “FAIR Enforcement Against Duty Evasion Act of 2011,” with the intention of ending duty evasion by foreign companies. The bill addresses two issues: (1) the lack of information collected on importers making it difficult for officials to identify those companies evading antidumping duty and (2) the ability of foreign companies who have not previously shipped to the U.S. to post a bond to cover estimated duties rather than pay cash.

Broker Obligation

The bill obligates customs brokers to use a good faith effort to obtain the identity of the customer importing into the U.S. and “maintain[ ] records of the information used to substantiate a person’s identify, including name, address, and other identifying information.” SAFE Enforcement Against Duty Evasion Act of 2011, sec. 3(a)(i)(2)(C), amending section 641(i) of the Tariff Act of 1930. With this additional burden on brokers comes new significant penalty exposure. A broker who fails to obtain the required identifying information is potentially liable for a penalty of up to $10,000 for each violation and a possible revocation or suspension of the broker’s license. http://mccaskill.senate.gov/files/documents/pdf/McCaskill_FAIR_Enforcement_Against%20Duty_Evasion_Act.pdf

Senator McCaskill indicated in her press release that collection of the identifying data would assist law enforcement during an investigation by “increasing the likelihood the lawbreakers can be identified and brought to justice.” http://mccaskill.senate.gov/?p=press_release&id=1337. The bill also creates what she referred to as a “safe harbor” to prevent brokers from penalties when they made reasonable efforts to comply with the new law. To this end, within 60 days from the date the bill is enacted, CBP must publish a Federal Register notice, in which it solicits proposals for examples of conduct that should not trigger the penalty provision. After the public comment period closes, CBP will issue its final regulation specifying such practices.

In addition, the bill requires CBP and other regulators to submit a report to Congress, (1) recommending the best way to require foreign nations to provide brokers with the required identifying information and (2) establishing a system for brokers to review identifying information maintained by the government.

New Shippers

In addition to the added broker obligations, the bill also removes the “bonding-in-lieu” provision for new shippers to the U.S. Instead, the bill requires shippers to pay in cash up front, thereby eliminating the possibility of posting a bond for estimated duties. This requirement is intended to prevent foreign companies from vanishing before making a duty payment in full. Under the bill, estimated duties are paid on imported goods at the beginning of the import process, rather than after the goods are in the U.S.

Brokers Beware: FDA Issues Letter to Industry about Import Review Process

On September 6, 2011, the U.S. Food and Drug Administration (FDA) issued a letter to the importing community, in which the agency provided recommendations to facilitate the FDA import entry review process for medical and non-medical radiation emitting electronic products. Specifically, the FDA recommends the use of Affirmation of Compliance (AofC) codes at the time of entry. The FDA believes that submitting AofC codes when entering radiation emitting electronic products will expedite the admissibility process by decreasing the likelihood that the FDA will hold your shipment for further review during the FDA’s import screening process.

The letter explains that Center for Devices and Radiological Health (CDRH) regulates radiation emitting electronic products under the Federal Food, Drug, and Cosmetic Act, 21 U.S.C. §360 and implementing FDA and US Customs and Border Protection (CBP) regulations. Importers of radiation emitting electronic products subject to “federal performance standards” must submit information regarding each product to the FDA and CBP at entry on Form FDA-2877 http://www.fda.gov/downloads/AboutFDA/ReportsManualsForms/Forms/UCM080778.pdf.

Imported products subject to a federal performance standard include:
• Television receivers and video display monitors with cathode ray tubes only (21 CFR §1020.10)
• Diagnostic x-ray systems and their major components (21 CFR§ 1020.30) (Includes medical x-ray, fluoroscopy)
• Cabinet x-ray systems (21 CFR §1020.30) (Includes airport security x-ray system)
• Microwave ovens (21 CFR §1030.10) (Includes consumer and commercial)
• Laser products (21 CFR §1040.10) (Includes laser pointers, laser light shows, industrial laser, medical laser, surveying, leveling and alignment lasers)
• Sunlamp products and ultraviolet lamps intended for use in sunlamp products (21 CFR §1040.20) (Includes tanning beds/booths)
• High intensity mercury vapor discharge lamps (21 CFR §1040.30) (and metal halide lamps, for illumination)
• Ultrasonic therapy products (21 CFR §1050.10) (for use in physical therapy).

Form FDA-2877 is not required for imported medical radiation emitting electronic products that are not subject to federal performance standards, which include radiation therapy devices, linear accelerators, diagnostic ultrasounds for imaging, microwave diathermy, shortwave diathermy, hearing aids, cardiac radiofrequency ablation devices, and extracorporeal shock wave lithotripters. Although these products have reporting requirements, they do not require the form.

All radiation emitting electronic products will have an AofC code, but vary depending on the product and whether it is subject to a federal performance standard. Here is a sampling of the types of Radiation Emitting Electronic Product Affirmation of Compliance Codes:

• ACC --- EPRC Accession Number: Used as the Electronic Product Radiation Control Product report Accession Number issued by FDA identified in the FDA line. Example: ACC 102XXX
• RA1 – EPRC Product Declaration A1 (FD-2877): Transmitted for products that were manufactured prior to the effective date of an applicable performance standard. The date of manufacture serves as the qualifier.
• RA2 – EPRC Product Declaration A2 (FDA-2877): Transmitted for products that are excluded from the applicability clause or definition in the standard or by FDA written guidance. You must provide the specific reason for exclusion.
• RA6 – EPRC Product Declaration A6 (FDA-2877): Transmitted when the products are prototypes intended for ongoing product development by the importer. The products must be labeled “FOR TEST/EVALUATION ONLY,” and be exported, destroyed or held for future testing, but not distributed. A qualifier is not required, but the quantity is required at the FDA line level.
• RB1 – EPRC Product Declaration B1 (FD-2877): Transmitted when the most current annual report or product report contains performance standards compliance information.

For a complete list of AofC Codes, please see appendix to the Sept.6, 2011 letter http://www.fda.gov/MedicalDevices/ResourcesforYou/Industry/ucm271180.htm and to the March 24, 2011 letter. http://www.fda.gov/MedicalDevices/ResourcesforYou/Industry/ucm248321.htm

Reminder re Deadline for Customs Broker Exam

As indicated in the Notice of Examination that CBP published earlier this month, the deadline to file an application to sit for the Customs Broker License Examination is close of business this Friday, September 2, 2011. CBP will not accept applications received after Friday. This means that a postmark on Friday, September 2 is not sufficient-- CBP must actually receive the application. You can find a copy of the examination application by clicking on form number CBP 3124E.

CBP Ends Paper Courtesy Liquidation Notices

In an attempt to streamline the notification process and reduce mailing costs, U.S. Customs and Border Protection (CBP) has decided to eliminate mailing paper copies of courtesy notices of liquidation. Although not statutorily necessary, CBP had established the practice of issuing courtesy copies of liquidation notices to importers of record whose entry summaries are filed in the Automated Broker Interface (ABI). Such courtesy liquidation notices provide informal and advance notice of an entry’s liquidation date.

CBP will cease mailing paper copies, but will continue to issue electronic courtesy notices to all ABI filers, which include importers of record who file their own entries and customs brokers who file as the agent of the importer of record. Importers of record who do not file entries through ABI will continue to receive the paper liquidation notices. CBP has also indicated that importers of record with an Automated Commercial Environment (ACE) Secure Data Portal Account can monitor the liquidation of their entries by using the reporting tool in the ACE Portal.

CBP estimated that upon implementation of the new policy, the agency will avoid duplication of the courtesy notices and save approximately $3,000,000 in postage annually. Although CBP received several comments praising CBP’s effort to save money, other commentators were concerned that importers of record would become completely reliant on their brokers to provide the liquidation date information that affect myriad of deadlines and customs compliance issues.

In response, CBP indicated that brokers are obligated to provide the liquidation dates. In addition, CBP responded that the agency is currently reprogramming ACE to permit all importers of record to monitor liquidation of entries filed under their importer of record numbers through the ACE Portal. CBP explained that even for those importers who do not have ACE Portal Account, an importer may gain limited access to a broker’s ACE Portal Account to obtain reports for entries filed by the broker using the importer of record number belonging to that importer. CBP is also considering posting an electronic courtesy bulletin notice of liquidation.

In light of this change, importers should consider revising their import policies to ensure that their customs brokers(1) provide the liquidation notices to importers upon receiving the electronic courtesy copy and (2) permit the importer limited access to their ACE Portal Account so that the importer can obtain reports for its entries.

The final rule is effective September 30, 2011. See 76 Fed. Reg. 50883 (Aug. 17, 2011), http://www.gpo.gov/fdsys/pkg/FR-2011-08-17/pdf/2011-20957.pdf, CBP will implement the rule the first day on or after September 30, 2011 that CBP can provide importers with complete liquidation reports, including liquidation dates, through the ACE Portal. CBP will announce the exact date of implementation after it determines when the ACE reports will be ready.

CBP Posts Notice of Customs Broker License Examination

US Customs and Border Protection has posted its Notice of Examination for the October 3, 2011 Customs Broker License Exam. To sit for the broker exam, CBP must receive and accept your exam application Form 3124E and fee of $200 by close of business on Friday, September 2, 2011. The exam application can be found on CBP’s website, under Form 3124E at http://forms.cbp.gov/pdf/CBP_Form_3124E.pdf. CBP will accept payment by cash, check or money order, but does not accept credit cards for the $200 exam fee.

The broker exam lasts four hours and consists of 80 multiple choice questions on the follow topics:
• Entry
• Classification
• Country of origin
• Trade agreements
• Antidumping and countervailing duty
• Valuation
• Broker responsibilities
• Fines, Penalties & Forfeitures (FP&F)
• Protests
• Marking
• Prohibited and restricted merchandise
• Drawback
• Intellectual property rights
• Other areas germane to a broker’s duties

CBP reports that the October 2011 exam will test the above topics based on the following reference materials:

• 2011 version of HTSUS (without supplements)
• 19 CFR parts 0-199 (revised as of April 1, 2011)
• Customs and Trade Automated Interface Requirements (ABI User requirements CATAIR)
o Appendix B- Valid Codes
o Appendix D- Metric Conversion
o Appendix E- Valid Entry Numbers
o Appendix G- Common Errors
o Glossary
• CBP Form 7501 Entry Summary Instructions
• Custom Directives
o CD 3550-055, Instructions for Deriving Manufacturer/Shipper ID Code
o CD 3550-079A, Ultimate Consignee at time of Entry or Release
o CD 3530-002A, Right to Make Entry*
o CD 5610-002, Standard Guidelines for the Input of Names and Addresses into ACS Files

Please note that CBP will not provide materials. Applicants may use any written materials, but may not use computers, phones, PDAs, or other electronics during the exam.
* BCP Learning added a lesson regarding CD 3530-002A, Right to Make Entry to Module 9 of its Customs Broker Examination Course.