How Are Net Exports of a Country Determined

question 98

Multiple Choice

How are net exports of a country determined?

• A) the value of goods and services imported minus the value of goods and services exported
• B) the value of goods and services exported minus the value of goods and services imported
• C) the value of goods exported minus the value of goods imported
• D) the value of goods imported minus the value of goods exported

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Definitions:

Understated

Describes a situation where figures or estimates are reported lower than they actually are, leading to inaccuracies in financial or data reporting.

Overstated

A term used when financial statements or records reflect a higher amount than what is accurate or true.

Cost of Goods Sold

Straightforward expenses incurred in the manufacture of merchandise a company sells, involving costs of materials and labor.

Days' Sales

A financial metric that estimates a company's average collection period for receivables, often expressed in days.