Total Quality Logistics Practice Test

Understanding what each document represents and when it is used is key. The Bill of Lading is issued when goods are loaded and acts as the contract for carriage as well as a receipt for the shipment, laying out who is shipping, who the consignee is, a description and quantity of the goods, packing details, and the terms of transport (and, in many cases, it can even function as a title document). The Freight Bill, on the other hand, is the carrier’s invoice for the transportation charges, produced after the move to bill the shipper for the service, detailing rates, weight or distance, accessorials, and the total amount due. So, the Bill of Lading is about the agreement and proof of shipment, while the Freight Bill is about payment for those services. The other statements don’t fit because the BoL is not simply an invoice, a packing list, or limited to domestic shipments, and it is not the same document as the Freight Bill.