If the US Government Imposes a Quota on Toy Imports, Then

question 18

Multiple Choice

If the U.S. government imposes a quota on toy imports, then

• A)net capital outflow rises.
• B)net exports rise.
• C)the exchange rate rises.
• D)All of the above are correct.

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Definitions:

Normal Balances

The side (debit or credit) of an account that is expected to have a positive balance.

Financial Statements

Formal records of the financial activities and position of a business, person, or other entity, including the balance sheet, income statement, and statement of cash flows.

Debit

An entry in the accounts that represents an increase in assets or expenses or a decrease in liabilities, equity, or revenue in a double-entry bookkeeping system.

Salary Expense

The total amount paid by a business to its employees for their services over a specific period.