Consider the Following Statement: "It Is Undesirable for Canada to Have

question 3

Multiple Choice

Consider the following statement: "It is undesirable for Canada to have a current account deficit." Which of the following is implied by this statement?

• A)Canada should not borrow from,or sell assets to,the rest of the world.
• B)Canada should export more goods than it imports.
• C)The government of Canada should not be involved in buying or selling foreign exchange.
• D)Canada should import more than it exports.
• E)Canada should always have a budget surplus.

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Definitions:

Long-Term Debt

Refers to loans and financial obligations lasting over one year.

Intangible Assets

Non-physical assets that have value due to their attributes, such as intellectual property, goodwill, and brand recognition.

Asset Turnover

A financial ratio that measures the efficiency of a company's use of its assets to generate sales revenue.

Property Turnover

A measure of how efficiently a company generates revenue from its assets, often by comparing sales to the average value of property, plant, and equipment.