Component: Payments for goods and services/Primary Income/Secondary Income

Cash Flow Position:Inflow/Outflow

Entry: Debit/Credit

Known as: Other capital investment/Portfolio investment/Direct foreign investment

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 Transaction Component A large American department store purchases clothes from Pakistan that it plans to sell in its US stores. An American investor owns stock in a Spanish company and receives a dividend payment from that company. 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 US bank purchasing short-term money market securities from Japan. This component of the financial account is known as