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Comment on the subsequent statement: “Since the U.S. imports more than it exports, it is essential for the U.S. to import capital from foreign countries to finance its current account deficits.”Answer: The statement assumes that the U.S. current account deficit causes its capital account surplus. Actually, the causality may be running in the reverse direction: U.S. capital account surplus may result the country’s current account deficit. Suppose foreigners find out the U.S. a great place to invest and send their capital to the U.S., resultant in U.S. capital account surplus. This type of capital inflow will strengthen the dollar, hurting the United States export and encouraging imports from foreign countries, resulting current account deficits.
#questionoperating cycle in vegetable growing business in uganda..
A developer has purchased a commercial office site in Melbourne and wishes to develop a building which will be sold to an institutional owner before completion of the building.
What is the explanation for leaset cost selection
How would you judge the potential profit of Bajaj Electronics on the first year of sales to Booth Plastics and give your views to increase the profit.
Your construction company is evaluating the proposed acquisition of a new earthmover. A consulting company you hired developed the following analysis last year at a cost to you of
Q. Define a currency futures contract? A currency futures contract is a standardised contract for the buying or else selling of a specified quantity of currency. It is traded o
Explain the meaning of - Purchase consideration The type of offer made to target company's shareholders would have a big impact on acceptance. Apparently the price
Accounting Period - Accounting Principle Accounting period refers to span of time at the end of that and for which the financial statement are prepared to throw light on the r
what is mean by breakeven point
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