Which transactions contribute to us current account surplus

Assignment Help Financial Management
Reference no: EM131213499

Which of the following transactions would contribute to a U.S. current account surplus?

a. Boeing barters a $100 million plane to Mexico in exchange for $100 million worth of hotel services on the Mexican coast.

b. The United States borrows $100 million long-term from Saudi Arabia to buy $100 million of Saudi oil this year.

c. The United States sells a $100 million jet to Turkey, and Turkey pays by transferring the $100 million from its bank account to the U.S. seller.

d. A British investor buys $100 million of IBM bonds from the previous U.S. owner of these bonds, and the British buyer pays by transferring the $100 million from his bank account to the previous U.S. owner.

Reference no: EM131213499

Questions Cloud

Number of vowels and this number : Write a function named count_vowels to count the number of vowels (a, e, i, o,u) in each line of the poem. Print the line with the largest number of vowels and this number. If there is a tie then print all the tied lines.
Create a program with an user interface : Create a program with an user interface that has one button. Every time the button is clocked. An output is produced to simulate the outcomes when a dice is rolled.
Do you agree or disagree with the given statement : Consider a country whose assets are not held by other countries as official international reserves. - Do you agree or disagree with the given statement? Explain.
Working on a lifelong project : If you consider your path as a student from the first day of class to now, you may observe that you are also working on a lifelong project. In this Application you will reflect on your college-level career as a project and analyze it using standar..
Which transactions contribute to us current account surplus : Which of the given transactions would contribute to a U.S. current account surplus-
How do dataflow variables show up : First show that any execution in the declarative model corresponds to an execution in a version of the λ calculus. How do dataflow variables show up? Then show that adding concurrency and laziness do not change this result.
What would you do or what kind of approach would you take : If you were Garcia, what would you do or what kind of approach would you take? Be sure to apply information you obtain from the lecture/textbook to support your approach. In other words, describe HOW and WHY you would approach as you indicated in ..
Communicate to different audiences : What do you believe are the most important sections, and why? Additionally, who is the audience of your final system requirement document? Are there multiple versions of the document to communicate to different audiences?
General areas of responsibility for chief financial officer : FIN200 Assignment. List and briefly describe the three general areas of responsibility for a chief financial officer (CFO) of a selected non-financial company which is listed on Australian Stock Exchange (ASX)

Reviews

Write a Review

Financial Management Questions & Answers

  Defined benefit plans provide more benefit security

Traditional 401(k) plans can be funded entirely through salary reductions by employees, enabling employers to bear no additional cost for employee compensation. A cash balance plan establishes a separate fund for each plan participant. Defined benefi..

  Bond date of maturity-what is the real interest rate

Suppose the discount rate is 5 percent and a bond promises to pay $200 per year for 10 years starting in one year and $800 at the date of maturity. What will be the price of the bond today? If the nominal interest rate is 4 percent and expected infla..

  The beta be for the other stock in your portfolio

You own a portfolio equally invested in a riskfree asset and two stocks. If one of the stocks has a beta of 1.5 and the total portfolio is equally as risky as the market, what must the beta be for the other stock in your portfolio?

  The cost of capital: weighted average cost of capital

The firm's target capital structure is the mix of debt, preferred stock, and common equity the firm plans to raise funds for its future projects. The target proportions of debt, preferred stock, and common equity, along with the cost of these compone..

  Calculate minimum probability at which credit can extended

Cast Iron Company, on each non-delinquent sale, receives revenues with a present value of $1,230 and incurs with a value of $1,065. Cast Iron has been asked to extend credit to a new customer. Calculate the minimum probability at which credit can be ..

  Debt outstanding and total market value

Kaelea, Inc., has no debt outstanding and a total market value of $106,000. Earnings before interest and taxes, EBIT, are projected to be $9,700 if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be 22 perc..

  Outstanding debt-preferred stock and common stock

Suppose that JML Corp. has outstanding debt, preferred stock, and common stock. For this year, the firm expects to have sales of $5,000 million, cost of goods sold of $3,500 million, operating expenses (including depreciation expenses) of $650 millio..

  Development of a code of ethics should involve

Development of a code of ethics should involve all of the following EXCEPT

  What is the firm after tax- cost f debt

Sincery Station Corp needs to raise $ 549000 to improve its manufacturing plant. It has decided to issue 1000 par value bond with an annual coupon rate of 10.3 percent with interest paid semiannually and a 10 yrs maturity. Investors require a rate of..

  What is the average direct labor cost rate

What is the average direct labor cost rate and What is the overhead rate.

  Explain how pricing in the equity market can influence firm

Explain how pricing in the equity market can influence a firm's (capital expenditures, such as plant and equipment, or expansion)) investment decisions. Explain how pricing in the bond market can influence a firm's capital structure (proportions of s..

  Assets must grow in proportion to projected sales

Carter Corporation's sales are expected to increase from $5 million in 2012 to $6 million in 2013, or by 20%. Its assets totaled $3 million at the end of 2012. Carter is at full capacity, so its assets must grow in proportion to projected sales. Why ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd