Question
Show how the following transactions are entered into the US balance of payments: a.A US resident imports $500 worth of goods from the UK and
Show how the following transactions are entered into the US balance of payments:
a.A US resident imports $500 worth of goods from the UK and promises to pay in three months.
b.The US government gives $100K cash balance in a US bank to a developing nation as part of the US foreign aid program.
c.The US government gives $100K worth of food aid to a developing nation.
d.A US resident purchases a $1000 foreign stock and pays for it by drawing down her bank balances abroad.
e.A US resident receives a dividend of $100 on her foreign stock and deposits it in her bank account abroad.
f.A foreign investor purchases $400 of US Treasury Bills and pays by drawing down his bank balances in the United States.
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