If a Country Has a Trade Surplus of $40 Billion

question 280

Multiple Choice

If a country has a trade surplus of $40 billion, which of the following can be true?

• A) The country's exports are $160 billion, and its imports are $120 billion.
• B) The country's exports are $110 billion, and its imports are $150 billion.
• C) The country's exports are $120 billion, and its imports are $140 billion.
• D) The country's exports are $140 billion, and its imports are $40 billion.

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Definitions:

User Charges

Payments users (consumers) are required to make if they want to receive certain services provided by the government.

Government Services

Various services provided by the government to its citizens, including education, healthcare, public safety, and infrastructure.

Tax Deductions

Expenses that can be subtracted from gross income to reduce taxable income and lower overall tax liability.

Government Decisions

Actions or policies chosen by public officials or governmental bodies that affect how a country is governed or how public resources are allocated.