Question 1 Describe how each of the following transactions affects the U.S. Current Account (increase or decrease in the Trade Balance, Net Payments from Abroad, or Net Unilateral Transfers), and in the external wealth or net foreign assets (increase or decrease) Example of a transaction: US exports 2,000,000 dollars worth of computers to Mexico. Mexico pays in US dollars. Answer: Current account increases by 2,000,000 (trade balance), and net foreign assets rise by 2,000,000 (higher US dollar reserves). 1. An American university buys several park benches from Spain and pays with a $150,000 check. 2. Samsung, a corporation in Korea, provided financial advice on an investment worth of 25 billion dollars with the state of Virgina to install wind turbines in 2020. The state of Virginia payed $100000 with US dollars in 2019. 3. A German hedge-fund received from Apple stock-dividents equal to $400,000 and de- posited to the fund's account in Deutsche Bank. 4. A Californian winery buys sparkling wine in bulk from Chile and pays with a $30000 wire transfer. 5. The United States gives 3-month of military aid to a foreign country, in the form of fighter jets with a cost of $3 billion dollars 6. US investors buy $3-million worth real estate in Japan from a Chinese real-estate fund, paying from their account in Switzerland. 7. A Japanese insurance company purchases $US 1 million U.S. Treasury bonds and pays out of its bank account kept in New York City 8. Jorge Ramirez, a landscape architect residing in Monterrey, Mexico, works for three months in Durham, NC, creating an indoor garden for a newly built museum and receives wages for $45,000. 9. Jinill Park's mother, a resident of South Korea, pays her son's USD 50,000 tuition to Columbia University via a direct deposit. 10. The U.S. dollar depreciates by 10 percent vis-'a-vis the euro. US assets abroad (A) are denominated in Euro and US liabilities (L) are denominated in US Dollars