Which of the Following Statements About U

question 43

Multiple Choice

Which of the following statements about U.S.trade is true?

• A) On average, other countries buy more U.S. goods and services than the United States buys from them.
• B) The United States has a trade deficit with every country with which it trades.
• C) The United States typically has a substantial trade surplus in services.
• D) Since the U.S. GDP is the largest in the world, it has a very high export ratio.

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Definitions:

Discount Period

The Discount Period refers to a specific timeframe during which a buyer can pay less than the full invoice amount as an incentive for early payment.

Credit Terms

Conditions under which credit is extended by a seller to a buyer, including payment period, discount for early payment, and late penalty.

Accounts Payable

Liabilities or amounts owed to creditors for goods and services received but not yet paid for.

Merchandise Inventory

The goods a company holds for the purpose of sale to customers.