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q XYZ, the U.S subsidiary of a British company, The Flowers of Britain, has just received 10 million of additional investment from its British parent.
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XYZ, the U.S subsidiary of a British company, The Flowers of Britain, has just received 10 million of additional investment from its British parent. Part of the investment is a $3 million computer system that was shipped from Britain directly. The 7 million remainder was financed by the parent by issuing U.S dollar-denominated to investors outside of USA. XYZ is holding these dollars in its New York bank account. What are the effects on the U.S balance of payments of the following set of transactions Step by Step Solution
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