Describe how each entry would be classified

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Question: Explain how each of the following transactions generates two entries-a credit and a debit-in the Japanese balance of payments accounts, and describe how each entry would be classified:

1. A Japanese investor buys a share of a Thailand stock company, paying by writing a check on an account with a Singapore bank.

2. A Japanese investor buys a share of a Thailand stock company, paying the seller with a check on a Japanese bank.

3. The Malaysian government carries out an official foreign exchange intervention in which it uses Yen held in a Japanese bank to buy ringgit (Malaysian currency) from its citizens

4. A tourist from Kyoto buys a meal at an expensive restaurant in Bangkok, paying with a traveler's check.

5. A sake´ brewery in Kobe contributes a case of sake´ bottles for a Paris wine-tasting event.

6. A Japanese-owned factory in Germany uses local earnings to buy additional machinery.

Reference no: EM132206730

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