Identify each transaction by whether it belongs in the US current account or financial account: The central bank of China collects interest payments on US government securities that it had previously bought. O Financial Account O Current Account
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- Which of the following items is a "debit" item in a country's balance-of payments accounts? a. exports of services b. increased holdings of domestic bonds by foreigners c. exports of merchandise d. an increase in a domestic citizen's bank aaccount in a foreign bank__________________________________ is a negotiable CD for a U.S. dollar deposit at a bank located outside the United States or in U.S. International Banking Facilities. Select one: A. Repurchase Agreements B. Eurodollar CD C. Foreign Deposits D. Treasury BillWhich of the following is a negotiable written promise (by a bank) for a U.S. dollar deposit at a bank located outside the United States or in U.S. International Banking Facilities.? a.Certificate of Deposits b.Bankers acceptances c.Eurodollar CD d.Repurchase agreement
- For each of the following transactions, determine which U.S balance of payments account is credited and which is debited and by how much. Assume payments for all transactions are deposited into a U.S dollar-denominated bank account. Calculate for c and d.An American Depositary Receipt (ADR) is defined as a security:(a) that has been deposited in an interest-bearing account at a U.S. bank(b) issued outside the U.S. that represents shares of a U.S. stock(c) issued in the U.S. that represents shares of a foreign stock(d) that has a guarantee of payment from a U.S. bank(e) issued in multiple countries but denominated in U.S. currencyIdentify the reasonsfor U.S. banks to operate in foreign countries and for foreignbanks to operate inthe United States.
- . An American Depositary Receipt is defined as a security: A. that has been deposited in an interest-bearing account at a U.S. bank. B. issued outside the U.S. that represents shares of a U.S. stock. C. issued in the U.S. that represents shares of a foreign stock. D. that has a guarantee of payment from a U.S. bank. E. issued in multiple countries but denominated in U.S. currency.Assume that a US citizen collected $4,500 in interest from a US denominated account in a French bank in France, then the interest payment will be reported as credit in the capital account. True FalseExchanging dollars for euros to pay a computer manufacturer in Belgium would occur (A) at the European Central Bank. (B) at the Federal Reserve. (C) in the letter of credit market. (D) in the foreign exchange market.
- Which of the following is a promise by the Government to pay a stated sum after expiry of the stated period from the date of issue? a. Commercial Papers b. Bankers’ Acceptance c. Treasury Bills d. Bills of ExchangeMake a personal assessment of any government bank in the Philippines.Which of the following statements is correct? a.Cash in bank is generally valued at face amount b.Cash in foreign currency is valued at Philippine peso using the current exchange rate that is favorably to the company during the current reporting period. c.Cash in financial institutions having financial difficulty or in bankruptcy should be shown at it face d.a bank statement is a statement, which brings into agreement the cash balance per book and cash balance per bank