QUESTION 18 Which of the following international transactions would NOT be count
ID: 2710747 • Letter: Q
Question
QUESTION 18
Which of the following international transactions would NOT be counted as a balance of payments (BOP) transaction? PLEASE EXPLAIN YOUR REASONING
A Canadian lumber baron purchases a U.S. corporate bond through an investment broker in Seattle.
An American tourist purchases cheese in Milwaukee, Wisconsin.
The U.S. subsidiary of a British firm pays profits (dividends) back to its parent firm in London
All of the above are considered BOP transactions.
A Canadian lumber baron purchases a U.S. corporate bond through an investment broker in Seattle.
An American tourist purchases cheese in Milwaukee, Wisconsin.
The U.S. subsidiary of a British firm pays profits (dividends) back to its parent firm in London
All of the above are considered BOP transactions.
Explanation / Answer
An American tourist purchases cheese in Milwaukee, Wisconsin.