10. From US perspective, which one is not BOP transaction? ( A The purchase of a US Treasury bill by a foreign resident B UC Berkeley has purchased a number of office supplies at local Wal-Mart D The purchase of a glass figure in Venice by an American tourist C Imports Japanese cameras 11. Purchases of stock that are too small to be considered foreign direct investment are classified as ( A depreciation C portfolio investment B investment spending D capital investment 12. Which of the following is NOT included in China's current account? A private remittances B income received on investments C increase in holdings of U.S. Treasury bill Dexports of goods 13. The balance of payments system ( A is another method for calculating GDP B insures that the net exports are always equal to zero C measures the total value of a domestic economy's transactions with the rest of the world D attempts to limit the fluctuation in international exchange rates. 14. Which of the following best characterizes the current U.S. exchange rate arrangement? A free floating B crawling peg D conventional peg Cadjustable peg 15. Which of the following constitutes the largest component of the world's international reserve assets? A Gold ( B Special Drawing Rights CIMF Reserve Positions D Foreign Currencies