The Following Table Shows the 2012 Balance of Payments Data

question 71

Multiple Choice

The following table shows the 2012 balance of payments data for the hypothetical nation of Zabella.All figures are in billions of dollars.
Current Account:

-Refer to the above data.Zabella's balance on capital account shows a:

• A) deficit of $10 billion.
• B) surplus of $5 billion.
• C) deficit of $28 billion.
• D) surplus of $13 billion.

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Definitions:

Lessor

The owner of a property or asset that is rented or leased to another party, known as the lessee.

Financial Leverage

The use of borrowed funds to increase the potential return on investment, while also increasing the potential risk.

Leasing

A financial agreement in which one party (the lessor) grants another party (the lessee) the right to use an asset for a specified period in exchange for periodic payments.

Taxes

Compulsory financial charges or some other type of levy imposed upon a taxpayer by a governmental organization.