Which of the Following Conclusions Does Figure 20

question 20

Multiple Choice

Which of the following conclusions does Figure 20.1, U.S. Exports and Imports, 1870-1910, allow?

• A) The bulk of U.S. exports went to Europe and Canada.
• B) Protective tariffs were lifted in 1890.
• C) The U.S. trade deficit grew steadily worse.
• D) The value of U.S. exports actually declined slightly between 1880 and 1890.

---

Definitions:

Functional Currency

The primary currency of the primary economic environment in which an entity operates, used in its financial reporting.

Subsidiary

A company controlled by another company, known as the parent company, through the ownership of more than half of its voting stock.

Inventory

The raw materials, work-in-progress products, and finished goods that are considered to be the portion of a business's assets that are ready or will be ready for sale.

Temporal Method

A method used in accounting to translate foreign currency transactions into the reporting currency of a business.