Balance of Trade and Balance of Payments

The current account shows ...

• international movement of goods and services
• international movement of capital
• foreign exchange market
• international movement of investments

An increase in the exchange value of one nation's currency in terms of currency of another nation's is called...

• Depreciation of currency
• Appreciation of currency

Each month, Ima Newhere, who recently arrived in the United States, sends half her paycheck to her sister in Poland.

• credit
• debit

Each month, Ima Newhere, who recently arrived in the United States, sends half her paycheck to her sister in Poland.

• Current account

• Capital/Financial account

BMW pays $1 million to a U.S. shipper for transporting cars from Germany to the United States.

• credit
• debit

BMW pays $1 million to a U.S. shipper for transporting cars from Germany to the United States.

• Current account

• Capital/Financial account

A Chinese company sells $1 million worth of socks to the U.S. army.

• credit

• debit

Andre Prenoor, U.S. entrepreneur, invests $50 million to develop a theme park in Malaysia.

• credit
• debit

Andre Prenoor, U.S. entrepreneur, invests $50 million to develop a theme park in Malaysia.

• Current account

• Capital/Financial account

Harley-Davidson USA purchases $25 million in production machinery from a Japanese company.

• Current account

• Capital/Financial account