Balance of payments

This account records a nation's imports and exports of goods, services, net investment income, and net transfers.

• current account
• financial/capital account
• official reserves

This account records flows of money from the purchase and sale of real estate and financial assets between countries.

• current account
• financial/capital account
• official reserves

Leroy Jenkins, a US citizen, buys stock in a Japanese video game company. This transaction would be recorded as

• a credit to the US

• a debit to the US

Leroy Jenkins buys stock in a Japanese video game company. This transaction would be recorded on the US balance of payments as

• current account

• financial/capital account

• official reserves

An Italian tourist paying for a night in a London hotel would count as:

• A debit on the UK balance of payments

• A credit on the UK balance of payments

An Italian tourist paying for a night in a London hotel would appear on the UK balance of payments:

• In the current account

• In the capital/financial accounts

The acquisition of a UK football club by a rich foreign investor would count as

• A debit on the capital and financial account

• A credit on the current account

• A debit on the current account

• A credit on the capital and financial account

Profits from a UK football club, paid back to a wealthy foreign owner, would count as:

• A credit as foreign direct investment on the capital/financial account

• An outflow investment incomes on the current account

• Import expenditure on the balance of trade of services

• Current transfers

Big Dave, a UK citizen, buys a villa in France. This would be registered on:

• The Balance of Trade in Goods

• The Balance of Trade in Services

• The Capital/Financial Account

• Investment incomes

The stock of physical and financial assets held by a country around the world is known as the

• International Investment Position

• Portfolio Investment Flows

• Investment income

• Foreign Direct Investment