Suppose That Imports and Exports in an Industry Are $100

question 44

Multiple Choice

Suppose that imports and exports in an industry are $100 million and $200 million, respectively. Will the index of intra-industry trade for this industry rise, fall, or remain unchanged if exports fall to $100 million?

• A) It will rise.
• B) It will fall.
• C) It will remain unchanged.
• D) There is not enough information to determine how the index will change.

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Definitions:

Cash Budget

A financial plan that estimates cash inflows and outflows over a specific period, helping organizations manage their liquidity and cash reserves.

Management Use

Management use typically refers to information or resources utilized by the management team for decision-making and strategic planning purposes.

June Cash Budget

A financial plan that estimates the cash inflows and outflows for a business during the month of June, aiding in managing liquidity.

Cash Receipts

Money received by a business or individual, often recorded in the financial records to track income.