Description
Let base be fobValue + freight and r be insuranceRate × coverageUplift, requiring r < 1.
Trade-finance arithmetic combines supplied fees, exchange factors, timing windows, and reporting bases. A local consistency result does not establish document compliance, contract rights, or bank acceptance.
Let base be fobValue + freight and r be insuranceRate × coverageUplift, requiring r < 1.
When to use this tool
Use Freight Insurance CIF FOB Bridge when you need one transparent cross-border cost or timing component.
How to use the tool and how it works
- Enter fobValue, freight, insuranceRate, coverageUplift, insuredOnCif. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read insurance, cifValue. Use the output convention below.
Let base be fobValue + freight and r be insuranceRate × coverageUplift, requiring r < 1. If insuredOnCif, return insurance base·r/(1-r) and CIF base/(1-r); otherwise return insurance base·r and CIF base·(1+r).1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| fobValue | Fob Value | Required. Finite number; minimum 0. |
| freight | Freight | Required. Finite number; minimum 0. |
| insuranceRate | Insurance Rate | Required. Finite number; minimum 0. |
| coverageUplift | Coverage multiplier, for example 1.1 for 110%, not the excess fraction alone. | Required. Finite number; minimum 0. |
| insuredOnCif | Insured On Cif | Required. Boolean. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| insurance | Insurance | Required. Finite number. |
| cifValue | Cif Value | Required. Finite number. |
{
"input": {
"fobValue": 1000,
"freight": 200,
"insuranceRate": 0.01,
"coverageUplift": 1.1,
"insuredOnCif": false
},
"output": {
"insurance": 13.200000000000001,
"cifValue": 1213.1999999999998
}
}Limitations and assumptions
- Coverage uplift is a multiplier, for example 1.1 rather than 0.1 for 110%; policy terms, insurable value, and trade obligations are not selected.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Review the complete transaction, contract, bank terms, and applicable accounting policies before acting on a partial calculation.
References
Similar or alternative tools
- Freight Cost Tax Base Gap
Add goodsValue and whichever of freightCost and insuranceCost their flags include.
- Border Price Domestic Margin Bridge
Convert borderForeignPrice with positive domesticPerForeign, then add tariffPerUnit, transportPerUnit, and distributionMargin for domesticPrice.