The Current Account

question 448

Multiple Choice

The current account

• A) is part of GDP.
• B) measures our imports minus our exports.
• C) measures our exports minus our imports taking into account interest payments paid to and received from the rest of the world.
• D) does not account for interest payments paid to and received from the rest of the world.

---

Definitions:

Hostile Takeover

An acquisition attempt by a company or individual against the target company's wishes.

Cash Bidding Price

The price offered in cash during an auction or bidding process for an asset or item.

Market Price

The market price at which you can currently buy or sell an asset or service.

Interest Tax Savings

The reduction in tax payments resulting from the deduction of interest payments on debt from taxable income.