Ruritania is calculating its BOP for the year. As usual, its data are perfectly accurate. All of
Question:
Ruritania is calculating its BOP for the year. As usual, its data are perfectly accurate. All of the transactions for the year are listed below (in Rur$ millions).
i) Ruritania received weapons worth $200 from the United States under its military aid program; no payment is necessary.
ii) A Ruritanian firm exported $400 of cloth and received an IOU from the foreign importer.
iii) A Ruritanian resident paid $10 in interest on a loan from a foreigner; the check was drawn on a domestic Ruritanian bank.
iv) Foreign tourists visited Ruritania and spent $100 in traveler's checks drawn on foreign banks.
v) The Ruritanian central bank sold $60 in gold to a foreign government and received U.S. Treasury bills in return.
vi) A foreign central bank deposited $120 in a private domestic Ruritanian bank and paid with a check drawn on a private bank in the United States.
Fill in the correct number for each balance-of-payments account for items a through j.
Exports
i) Goods
ii) Services
Imports
iii) Goods
iv) Services
v) Unilateral transfers
Ruritanian assets abroad
vi) Privately owned
vii) Officially owned
Foreign assets in Ruritania
viii) Privately owned
ix) Officially owned
x) Current account
Step by Step Answer:
Foundations Of Multinational Financial Management
ISBN: 9780470128954
6th Edition
Authors: Alan C Shapiro, Atulya Sarin