Indicate the answer choice that best completes the statement or answers the question. _ 1. In the _ financial statistic, the investment position of individual countries are listed as domestic assets (foreign assets held by domestic residents) and domestic liabilities (domestic assets owned by foreign residents). a. balance of payments b. World Bank c. World Trade Organization's d. International Monetary Fund's e. balance of trade _ 2. Sarah has $2,500 that she wants to invest in a European certificate of deposit (CD). The spot exchange rate, Es/ e, is 1.28. If the minimum investment required in the CD is 62,000, does Sarah have sufficient funds? If not, what is the shortfall? a. Yes, $2,500 is sufficient because it is equal to 62, 100. b. No, Sarah is falling short by 646.875. c. No, Sarah is falling short by $46.875. d. Yes, $2,500 is sufficient because it is equal to E3,200. e. No, Sarah is falling short by 6437.5. 3. Suppose the spot Yuan/dollar exchange rate is 6.79. Sue, a Chinese national, has 10,000 Yuan that she wants to invest in a U.S. asset that promises an annual interest of 7 percent. If the expected exchange rate (Yuan/dollar) after a year is 7.2, calculate the rate of return Sue earns on her investment. a. 7 percent b. 0.9 percent c. 13.46 percent d. 6.04 percent e. 5.6 percent