The Balance of Trade Is the Difference Between Exports of Goods

question 164

True/False

The balance of trade is the difference between exports of goods and services and imports of goods and services.

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Definitions:

Depreciation Expense

The allocation of the cost of a tangible asset over its useful life.

Prepaid Expenses

Expenses paid in advance for goods or services to be received in the future.

Accounts Receivable

Amounts owed to a company by customers for goods or services provided on credit.

Inventories

Assets held for sale in the ordinary course of business, in the process of production for such sale, or in the form of materials or supplies to be consumed in the production process or in the rendering of services.