Which of the Following Would Increase the Current Account Balance

question 261

Multiple Choice

Which of the following would increase the current account balance of the United States?

• A)an increase in imports
• B)an increase in the amount of money the U.S.government sends in foreign aid to other countries
• C)an increase in the balance of trade
• D)an increase in the amount of income U.S.companies pay out to foreigners who own investments in the United States.

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Definitions:

Coupon

The interest payment made to the bondholder during the life of the bond, expressed as a percentage of the bond's face value.

Pre-tax Cost

The cost of an investment or transaction before any taxes are considered or applied.

Coupon

Yearly interest rate provided by a bond, shown as a percentage of its face value.

Market Price

The sale or purchase price of a service or asset in the current market.