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Suppose Salvania's Exports Equal $500 Billion and Its Imports Equal

Question 112

Multiple Choice

Suppose Salvania's exports equal $500 billion and its imports equal $400 billion.
Foreigners purchased $200 billion worth of assets in Salvania. What is Salvania's balance in
Its capital account?


A) $100 billion
B) -$100 billion
C) $300 billion
D) -$300 billion

Correct Answer:

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