The Difference Between a Country's Exports and Its Imports of Goods

question 141

Multiple Choice

The difference between a country's exports and its imports of goods and services is known as the:

• A) trade balance.
• B) balance of payments on goods and services.
• C) balance of payments on current account.
• D) balance of exchange.

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Definitions:

Bill And Hold Sales

Transactions where revenue is recognized after billing the customer while the seller retains physical possession of the goods.

Shipments

The transportation of goods from one location to another.

Distributors

Entities involved in the process of making products available for consumption by distributing them from producers to end consumers.

Fair Value Option

An accounting approach allowing companies to report certain assets and liabilities at fair market values rather than historical costs.