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Question - Calculations - Fishing World - Scenario: You are the owner of "Fishing World". At the suggestion of a business associate, you have decided to investigate the importation of certain fishing knives. The first item you would like to import is fillet Knives with fixed blades. In order to determine if the cost of imported fillet knives is competitive with Canadian-made fillet knives you must calculate the duties and taxes associated with the importation of this product. Additional details are as follows:
Number of units: 10000 fillet knives
Cost per unit: $100.00 USD
Exchange rate: $1 USD = $1.45 CAD
Tariff Treatment: MFN
GST Rate: standard 5%
Using the Customs Tariff page and information provided you are asked to:
(1) Calculate the VFCC, VFD, CD, VFT, GST and TDTP for 10000 fillet knives.
(2) Complete all B3 fields involved in (1).
(3) If Canadian-made fillet knives have a cost price of $170.00 CAD with GST included should you import US made fillet knives?
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