Table 181 -Refer to Table 18

question 32

Multiple Choice

Table 18.1
$$\begin{array}{l}\text { Table } 18.1\\\begin{array} { | l | c | } \hline \text { Current Account } & ( \$ ) \\\hline \text { Merchandise exports } & + 1000 \\\hline \text { Merchandise imports } & + 3000 \\\hline \text { Merchandise trade balance } & \\\hline \text { Service exports } & + 1500 \\\hline \text { Service imports } & + 1000 \\\hline \text { Goods and services balance } & 100 \\\hline \text { Net investment income from abroad } & - 1,000 \\\hline \text { Net unilateral transfers } & \\\hline \text { Current account balance } & \\\hline\end{array}\end{array}$$
-Refer to Table 18.1, which shows a Balance of Payments account. What is the merchandise trade balance?

• A) ?$1,500
• B) ?$2,000
• C) ?$2,400
• D) ?$2,420
• E) $500

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Definitions:

Ledger

A comprehensive collection of a company's financial transactions, organized by account, used in the double-entry bookkeeping system.

Closing Entries

At the close of an accounting period, transactions are documented to move balances from temporary to permanent accounts.

Closing Entries

Journal entries made at the end of an accounting period to transfer temporary accounts to permanent accounts.

Income Statement

A financial statement that presents the revenues, expenses, and profits or losses of a company over a specified period, typically a quarter or year.