Case facts
Client documents can contain mistakes, and so can the documents in this exercise. Check each entry against the facts before you answer.
Pinecrest Bath & Home LLC of Atlanta, Georgia, bought 14,400 woven bath towels of 100% cotton terry fabric from Texteis Ribeira, Lda., Rua da Fabrica 418, Guimaraes, Portugal, at US$6.00 each, FOB Leixoes. Pinecrest paid ocean freight and insurance of US$4,150.00 directly to its forwarder. The towels were stuffed into a 40-foot container and laden on the vessel Atlantic Meridian, which sailed from Leixoes on Thursday, September 24, 2026. The vessel arrived within the port limits of Savannah, Georgia, with intent to unlade on Wednesday, October 7, 2026. Your firm filed entry (CBP Form 3461) and the goods were released on Thursday, October 8, 2026; the entry summary will be filed later. No antidumping, countervailing or Chapter 99 duties apply.
Excerpt of the draft CBP Form 7501 prepared by a new entry writer
| Block | Entry |
|---|---|
| 1. Filer Code/Entry No. | K7Q-0461275-5 |
| 2. Entry Type | 01 |
| 5. Bond Type | 8 |
| 6. Port Code | 1703 |
| 7. Entry Date | 10/08/2026 |
| 8. Importing Carrier | ATLANTIC MERIDIAN |
| 9. Mode of Transport | 10 |
| 10. Country of Origin | PT |
| 11. Import Date | 10/07/2026 |
| 14. Exporting Country | PT |
| 15. Export Date | 09/24/2026 |
| 27. Line | 28. Description; 29A. HTSUS No. | 30A. Gross Wt.; 30B. Manifest Qty. | 31. Net Qty. | 32A. Entered Value; 32B. CHGS; 32C. Rel. | 33A. Rate | 34. Duty |
|---|---|---|---|---|---|---|
| 001 | BATH TOWELS, 100% COTTON TERRY; 6302.91.0015 | 8,640 KG; 720 CTN | 14,400 NO.; 7,920 KG | 86,400; 4,150; N | 9.2% | 7,948.80 |
Which ONE of the following blocks of the draft CBP Form 7501 contains incorrect information?
Block 9 is wrong. The ACE Entry Summary Instructions (Mode of Transport) use code 10 for vessel, non-container and 11 for vessel, container; the towels moved in a 40-foot container, so the code is 11. Block 6 is right: 1703 is Savannah in the port list of 19 CFR 24.24(b)(1), which uses the Schedule D codes. Block 8 correctly gives the vessel name, which the instructions require for vessel cargo. Block 11 correctly shows the day the vessel arrived within the port limits with intent to unlade. Source: ACE Entry Summary Instructions v2.4a, Mode of Transport, Importing Carrier, Date of Importation; 19 CFR 24.24(b)(1) port list (eCFR, as at 7 Oct 2026); CBP Form 7501 (2/18) block layout.
Treating any vessel shipment as code 10 without checking whether the cargo was containerized.
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