If a Country Has a Trade Surplus

question 23

Multiple Choice

If a country has a trade surplus

• A)it has positive net exports and positive net capital outflow.
• B)it has positive net exports and negative net capital outflow.
• C)it has negative net exports and positive net capital outflow.
• D)it has negative net exports and negative net capital outflow.

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Definitions:

Year 2

Refers to the second year of a particular time frame, project, or financial period, often used in forecasting or comparing year-over-year performance.

Acid-Test Ratio

A stringent measure of liquidity that assesses a company's ability to meet its short-term obligations with its most liquid assets, excluding inventory.

Year 2

This term does not have a specific definition without context but generally refers to the second year of a given timeframe, study, or financial period.

Average Collection Period

The amount of time it typically takes for a business to receive payments owed by its customers, indicating the efficiency of a company's credit and collection policies.