Balance of Payments

1. Balance of payments For each transaction in the table, indicate the current account component, cash flow position, and type of entry on the balance-of-payments account. US Cash Flow Position Entry on US Balance-of- Payments Account Component Transaction Consumers in Japan purchase baseball jerseys from their favorite US baseball teams. The jerseys are produced in the United States. An American-based subsidiary remits earnings to the parent company in Canada. France provides funds to the United States as a gift to be used for the construction of a large monument. Consider the case of a foreign firm acquiring an American firm. This component of the financial account is known as Grade It Now Save & Continue