With Respect to Canada's Balance of Payments

question 37

Multiple Choice

With respect to Canada's balance of payments,

• A)if the current account is in deficit,the capital account must also be in deficit.
• B)the current account balance must be zero.
• C)the current account balance plus the capital account balance must be zero.
• D)the trade account plus the capital account must equal the official financing account.
• E)the capital account balance must be zero.

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Definitions:

Pension Liability

The amount of money a company or governmental entity is required to pay into its pension plan to satisfy future pension obligations to retired employees.

Actuary

A professional who assesses and manages the risks of financial investments, insurance policies, and other potentially risky ventures using mathematics, statistics, and financial theory.

Pension Payments

Regular payments made to retirees or their beneficiaries from a pension fund.

Actuarial Assumed Rate

The interest rate that an actuary determines to calculate the present value of future pension benefits or contributions.