What does “freight paid on actuals” mean?

“Freight paid on actuals” refers to how the freight charges are calculated based on the actual quantity of cargo delivered, rather than the initial quantity loaded.

For example, say a shipment contains 500 bushels of carrots. The freight rate may be a certain dollar amount per bushel transported. When the shipment arrives at the destination, the actual number of bushels delivered is counted/weighed. If 450 bushels arrive, then freight charges are calculated based on 450 bushels at the per bushel rate, rather than the 500 bushels initially loaded.

In summary, “freight paid on actuals” means the final freight payment is based on the actual confirmed quantity received at the destination, not the initial planned or estimated quantity. This way, the shipper only pays freight for what was actually delivered.

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