1. Hashan Rahubaddha - 141456 X
Question 1
1.1 Advantages & Disadvantages of leasing the containers
1.2 Advantages & Disadvantages of owning containers
1.3 Types of Leasing agreements that are available and their characteristics.
Lease Type Duration Repositioning Maintenance and
Repair
Other Issues
Master Lease Short to medium term Leasing
Company
Leasing Company Variable number of
containers (min/max).
Variable lease duration. On
hire and off hire
credits/debits (depending on
location and equipment
condition).
Long Term
Lease
5 to 8 years Lessee Lessee Fixed number of containers.
Predetermined delivery
schedule.
Short Term
Lease
Short period / trip /
round trip
Lessee Lessee
Advantages Disadvantages
Profitable in the short run Commitment to the contract for entire validity period means that
when something goes wrong with the container the lessee will
sometimes have to be responsible for it.
Tax Benefits – Lessee doesn’t have to pay
taxes for the equipments.
More expensive than purchasing in the long run.
Maintenance Small companies with a limited
financial power and a less workforce find it
easier since it’s not them who have to maintain
the containers but the lesser.
Might prove financially ineffective in the long run
Advantages Disadvantages
Cheaper in the long run Expensive in the short run
Can be used for advertising of the operators
generating alternative income methods.
Tax– Owners have to pay property tax for the containers they
own
Maintenance - Small companies with a limited financial power
and a less workforce might find it hard to maintain the
containers.
2. Question 2 - Container types and their features
Container
type
ISO size and
capacity
Carried
goods
Other
significant
features
Photograph
1. Tank
containers
19.8556 feet (6.05
meters) long, 7.874
feet (2.40 meters)
wide and 7.874 feet
(2.40 meters) or
8.374 feet (2.55
meters) high.
27,000 to 40,000
liters
Food stuff
-Alcohol
-Fruit Juices
Chemical
Products
-Flammables
-Toxic
Substances
Tanks must be
more than 80%
of its capacity
to avoid surge
2.Open
Containers
Length 40’
Width 8’
Height 8’6’’
Over Height
Cargo
Loading from
topside by crane
Eg: Heavy
machinery or
oversize d pallets
Cranes and
rolling bridges
are used to
operate with
these
containers
3.High cube
Containers 14.63 m Length
Height 2.90 m
2.59 m Width
insulation
materials
boxes of light
cargo, such as
potato chips
tall items
It has the
advantages of
Higher
payload
(maximum
weight)
more
volume
4. Half
Height 20ft
container
6.058 m Height
2.438 m Width
1.295 m Height
Heavy industrial
loads likes ores
Mining
consumables or
concentrates
They are
manufactured
to be versatile
and robust to
withstand the
rough mining
and industrial
environment