Which of the Following Is NOT Included in the U

question 84

Multiple Choice

Which of the following is NOT included in the U.S. current account?

• A) U.S. investment abroad
• B) net interest income
• C) net transfers
• D) imports of goods and services

---

Definitions:

Compounded Rate

Refers to the process by which interest is earned on both the initial principal and the interest previously earned.

Monthly Payments

Regular payments made once per month, often used in the context of loans, leases, or other financial agreements.

Salary Deferral Plan

A type of retirement plan where employees opt to defer a portion of their salary, which is then invested on a pre-tax basis until withdrawal at retirement.

Compounded Semi-Annually

A method of calculating interest where the accrued interest is added to the principal amount twice a year, leading to interest on interest.