Which One of the Following Transactions Would Appear as a Credit

question 96

Multiple Choice

Which one of the following transactions would appear as a credit in the capital account of the Canadian balance of payments?

• A)Canadians purchase foreign securities.
• B)A Dutch firm purchases a uranium mine in Canada.
• C)Canadian firms pay dividends to foreigners.
• D)Coffee is imported from Venezuela.
• E)French tourists buy ski tickets in Canada.

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Definitions:

Satisficing

The process of seeking solutions or outcomes that are satisfactory and sufficient, rather than optimal.

Maximization

the action of making something as large or as great as possible.

Rational Decision-Making

A systematic process of making choices that are logically sound and based on the available evidence, goals, and alternatives.

Decision Outcomes

The consequences or results that follow from actions taken based on decision-making processes.