A Country Sells More Goods and Services to Foreign Countries

question 115

Multiple Choice

A country sells more goods and services to foreign countries than it buys from them.It has

• A)a trade surplus and positive net exports.
• B)a trade surplus and negative net exports.
• C)a trade deficit and positive net exports.
• D)a trade deficit and negative net exports.

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Definitions:

AASB 3

An accounting standard detailing the requirements for the accounting of business combinations.

IFRS 3

Business Combinations, an International Financial Reporting Standard that outlines the accounting and reporting requirements for mergers and acquisitions.

Goodwill

The intangible asset that arises when a company acquires another business for more than the fair value of its separable net assets.

Fair Value

The expected selling price for an asset or the amount needed to cover a liability, facilitated through a systematic deal between market participants on the specific date of measurement.