Question
When individuals and entities carry out activities that affect their home countryand an overseas country these transactions affect particular accounts domestically and overseas. From the
When individuals and entities carry out activities that affect their home countryand an overseas country these transactions affect particular accounts domestically and overseas. From the following transactions indicate the effects on the both the domestic and overseas countries and their balance of payments :
(a) An Australian manufacturer borrowed $800,000 from an Australian bank to build a manufacturing plant in Croatia .
(b)An Australian company paid $55,000 dividends to a UK Investor .
(c) An Australian company purchased a trade mark paying $80,000 to the US company.
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