Observation

Most candidates who attempted this question performed very well. However, some candidates could not explain consignment note.

The expected responses are.

a. Functions of Warehousing

• Warehousing performs the function of storage of goods until they are needed.


• Warehousing facilitates price stabilization by the creation of time utility.


• Warehousing helps in risk- minimization such as theft and fire.


• Warehousing provides facilities for grading, sorting and packaging of goods.


• Warehousing provides protection to goods from loss or damage due to heat, dust, moisture, wind etc.


• Warehousing helps to keep track of information regarding inflows and outflows of stock.  

• Road transportation


• Rail transportation


• Water transportation


• Air transportation


• Pipeline transportation

(ii) Transportation Documents


• Waybill: This is a document used by a carrier showing details and instructions regarding the goods being transported. It shows the names of the consignor and the consignee, the point of origin, the destination of the goods.


• Consignment Note: This is a document prepared by a consignor and countersigned by the carrier as a proof of receipt of goods for delivery at a destination.


• Delivery Note: This is a document that accompanies the shipment of goods and shows the description and quantity of goods declared. A copy of this document, signed by the consignee is returned to the consignor as proof of delivery.