A Trade Deficit Occurs When

question 32

Multiple Choice

A trade deficit occurs when:

• A)exports exceed imports.
• B)imports exceed exports.
• C)tariffs exceed quotas.
• D)quotas exceed tariffs.

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Definitions:

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its useful life uniformly.

Net Advantage to Leasing

The total financial benefits of leasing an asset, compared to purchasing it, taking into account all costs and savings.

Lease Payments

Regular payments made by a lessee to a lessor for the use of a leased asset.

CCA Rate

The percentage rate used in Canada to calculate capital cost allowance, which is a deductible expense for tax purposes on the depreciation of assets.