Which type of tariff is easiest to administer?
A) specific
B) ad valorem
C) compound
D) FAS
E) FOB

Question

Quizplus · Accepted Answer

In contrast, ad valorem tariffs are based on the value of the goods, which can be more difficult to administer because they require accurate assessment of the market value of the imported products. Compound tariffs combine both specific and ad valorem elements, making them even more complex to administer. FAS (Free Alongside Ship) and FOB (Free On Board) are not types of tariffs, but rather terms used in international shipping to define at what point the responsibility and ownership of goods transfer from seller to buyer.
Therefore, the correct answer to the question "Which type of tariff is easiest to administer?" is:
a. specific

Which Type of Tariff Is Easiest to Administer