All of the Following Are Debit Items in the Balance

question 55

Multiple Choice

All of the following are debit items in the balance of payments,except:

• A) Capital outflows
• B) Merchandise exports
• C) Private gifts to foreigners
• D) Foreign aid granted to other nations

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Definitions:

Annual Coupon

The annual payment of interest to bondholders, usually shown as a percent of the bond’s nominal value.

Yield To Maturity

The total return anticipated on a bond if held until it matures, accounting for its current market price, interest payments, and eventual repayment of principal.

Required Rate Of Return

The minimum acceptable rate of return considering both its risk and the returns available on other investments.

Bond Yields

The amount of return an investor realizes on a bond, calculated as the percentage of the bond's annual interest payments relative to its market price.