A. Current Account. (Assume, currency examples are in billions of US dollars)

Trade in goods:

Debit: U.S. firm purchases German machine tools for $1,224.23

Credit: Singapore Air Lines buys Boeing jet(s) for 774.86

Trade in services:

Debit: American citizens take trips on a Dutch cruise line $217.07

Credit: The Brazilian tourist agency sends its customers on regular tours to the US and pays for various services in the amount of $290.88

Income payments and receipts:

Debit: The U.S. subsidiary of a Taiwan computer manufacturer pays dividends to its

parent $217.68

Credit: British banks pay the salary of their executives stationed in New York $200.00.

Unilateral current transactions.

Debit: The U.S.-based International Rescue Committee pays for essential supplies to

Haiti earthquake victims $150.00

Credit: A Spanish company pays tuition for an employee to study for an MBA in the

United States $152.90

B. Capital and C. Financial Accounts - Main components

The main components and possible examples are:

Debit: Ford Motor Company purchases land for building a factory in Australia $4.39

Credit: Ford Motor Company sells its additional land holding adjacent to its factory in

Britain to British investors $2.24

Direct investment.

Debit: Ford Motor Company builds a factory in Australia $212.44

Credit: Ford Motor Company sells its factory in Britain to British investors $295.68

Portfolio investment.

Debit: An American Pension Fund buys shares ($99.74) and bonds ($25.20) of a few

firms quoted in the Frankfurt Stock Exchange for $124.94

Credit: Investors in Korea buy United States treasury bills ($280.74) and other equity

securities ($193.85) quoted in the NYSE for $474.59

Other investment.

Debit: U.S. firms deposit $303.27 in banks in London.

Credit: U.S. banks generate a short term deposit from banks in Canada $262.64

D. Errors and Omissions

There were a few irreconcilable items with a net credit balance of $0.73

What is the total for Groups A through D

Year Assumptions (billions of US dollars) A. Current Account Goods: exports Goods: imports A.1 Balance of Trade in goods Services: credit Services: debit A.2 Balance of Trade in service Income: credit Income: debit A.3 Balance on income Current transfers: credit Current transfers: debit A.4 Balance on current transfers Current Account Balance (Group A) B. Capital Account (Group B) B.1 Real Estate purchase abroad B.2 Real Estate sale in the US Capital Account Balance (Group B) C. Financial Account Direct investments Received Direct investment abroad C.1 Net Direct investment Portfolio investment assets, net Portfolio investment liabilities, net C.2 Net Portfolio investment Other investment assets, net Other investment liabilities, net C.3 Net Other investments Financial Account Balance (Group C) D. Net Errors and Omissions Total of A+B+C+D (BOP) E. Reserves and Related Items Year Assumptions (billions of US dollars) A. Current Account Goods: exports Goods: imports A.1 Balance of Trade in goods Services: credit Services: debit A.2 Balance of Trade in service Income: credit Income: debit A.3 Balance on income Current transfers: credit Current transfers: debit A.4 Balance on current transfers Current Account Balance (Group A) B. Capital Account (Group B) B.1 Real Estate purchase abroad B.2 Real Estate sale in the US Capital Account Balance (Group B) C. Financial Account Direct investments Received Direct investment abroad C.1 Net Direct investment Portfolio investment assets, net Portfolio investment liabilities, net C.2 Net Portfolio investment Other investment assets, net Other investment liabilities, net C.3 Net Other investments Financial Account Balance (Group C) D. Net Errors and Omissions Total of A+B+C+D (BOP) E. Reserves and Related Items