If the USPurchased $100 Billion in Foreign Assets and Foreigners Purchased $50

question 5

Multiple Choice

If the U.S.purchased $100 billion in foreign assets and foreigners purchased $50 billion of U.S.assets,which of the following is true?

• A) Net exports equal -$50 billion.
• B) Exports total $100 billion.
• C) There is a trade deficit.
• D) Net exports equal $50 billion.
• E) Imports total $50 billion.