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Based on the data for Indonesia (see the table below), please answer the following questions (a) to (c). (Assume all data are for 2016. You

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Based on the data for Indonesia (see the table below), please answer the following questions (a) to (c). (Assume all data are for 2016. You must clearly show all the steps in your calculations. The data are extracted from the World Trade Organization website.): a) Calculate the merchandise trade balance, commercial services trade balance and total trade balance for Indonesia in 2016. Briefly comment on (i) Indonesia trade balances, and (ii) their impact on Indonesia foreign exchange reserves and foreign investments? (2 marks) b) What is the value and direction of net other income for Indonesia? (1 mark) c) What is the value and direction of net international investment stock for Indonesia? Assume the following: (1) the income from net personal remittances for Indonesia is USD 6 billion, and (2) the average rate of return on international investments is 5%. (2 marks) d) Explain how the changes in exchange rate (appreciation and depreciation) affect the competitiveness of nations in trade (exports, imports) and FDI. Clearly illustrate with appropriate examples and calculations

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