INTERNATIONAL MACROECONOMICS AND FINANCE

CHOOSE THE OPTION FROM HIGHLIGHTED BELOW: PLS , I WILL BE VERY GRATEFUL IF YOU CAN EXPLAIN .

According to David Waring, when measuring capital flows into and out of a country those capital flows include

only cross-border mergers and acquisitions.

only bond market investments.

only bond and equity market investments.

cross-border mergers and acquisitions.

only equity market investments.

1b

.If a Swedish company purchases an ink-jet fax machine from the Italian company Olivetti, paying with a 9000 kr bank transfer, then according to IMF definitions it should show up as

9000 kr credit in Sweden's current account and as a 9000 kr debit in Sweden's financial account.

a 9000 kr debit in Sweden's current account and as a 9000 kr credit in Sweden's capital account.

a 9000 kr credit in the Swedish current account and as a 9000 kr debit in Sweden's capital account.

a 9000 kr debit in Sweden's current account and as a 9000 kr credit in Sweden's financial account.

a 9000 kr debit in Sweden's current account and as a 9000 kr debit in Sweden's financial account.