Question
Indicate and explain how each of the following international transactions is entered into the Malaysian balance of payments: (a) A Malaysian receives RM50,000 in interest
Indicate and explain how each of the following international transactions is entered into the Malaysian balance of payments:
(a) A Malaysian receives RM50,000 in interest from United States (US) bonds he owned. The RM50,000 is deposited in a US bank.
(b) A Malaysian tourist travels to Singapore and spends RM1,000 Singapore deposit.
(c) A Malaysia bank makes a loan of RM60,000 to a Thailand firm by creating a RM60,000deposit for it in the Malaysia bank.
(d) A Malaysia firm sells RM2 million worth of bananas to a Brunei firm. The bananas are paid by the Brunei firm's bank account in one of the Malaysia bank.
(e) The Malaysian government gives RM5 million worth of rice to China.
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