Question: For each transaction in the table, indicate the current account component, cash flow position, and type of entry on the balance-of-payments account. Transaction Component (

For each transaction in the table, indicate the current account component, cash flow position, and type of entry on the balance-of-payments account.

Transaction

Component (Primary Income, Payments for goods and services, or secondary income)

US Cash Flow Position (outflow or inflow)

Entry on US Balance-Of-Payments Account (debit or credit)
Consumers in Japan purchase baseball jerseys from their favorite US baseball teams. The jerseys are produced in the United States.
An American-based subsidiary remits earnings to the parent company in Canada..
France provides funds to the United States as a gift to be used for the construction of a large monument.

Consider the case where a US-based company purchases stock in a French company.

This component of the financial account is known as ____ (other capital, direct foreign investment or portfolio investment).

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