Which of the following would appear as a credit item in the trade account of the Canadian balance of payments?

Question

Quizplus · Accepted Answer

Sales of Canadian steel to European importers is a credit item as it represents an export of goods out of Canada, generating revenue and increasing the country's export earnings.

All other options are debit items, as they represent outflows of money from Canada: 
A) Dividends payable to Canadians on Canadian-owned assets located in Cuba represent income earned by Canadian investors abroad, which is a debit item.
C) Canadian purchases of American-made vehicles represents an import of goods, which is a debit item.
D) Purchases by Japanese firms of shares of Canadian firms in the entertainment industry represents a capital inflow, but it is a debit item as it represents the transfer of ownership of assets abroad.
E) The opening of an Ottawa branch of a Swiss bank represents a capital inflow of foreign investment, but it is not a trade item and therefore not included in the balance of payments' trade account.

Which of the Following Would Appear as a Credit Item