If a US Resident Purchases a Foreign Stock for $750

question 14

Multiple Choice

If a US resident purchases a foreign stock for $750 and pays for it by increasing foreign bank balances in the US,what entries would be made in the US balance of payments?

• A)Common stock - credit of $900; Cash - debit of $900
• B)Capital outflow - credit of $900; Capital inflow - debit of $900
• C)Common stock - debit of $900; Cash - credit of $900
• D)Capital outflow - debit of $900; Capital inflow - credit of $900

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Definitions:

Effective Branding

The process of creating a distinctive and durable perception in the minds of consumers, differentiating a product or service from its competitors.

Tangible Aspects

The physical or material characteristics of something, easily perceived by the senses.

Employer Branding

The process of promoting a company as the employer of choice to a desired target group, one which a company needs and wants to recruit and retain.

Products And Services

Goods sold and tasks performed by a business to satisfy the needs and wants of customers.