Look at each of the cases below from the point of view of the balance of payments for Canada. Determine the subcategory of the current account or financial account that each transaction would be classified in, and state whether it would enter as a credit or debit. a. A migrant worker in Ottawa sends $500 home to his village in Mexico. b. A Canadian charity donates five tons of rice to the Sudan to help with famine relief. c. A Canadian retired couple flies from Vancouver to Tokyo on Japan Airlines.
Look at each of the cases below from the point of view of the balance of payments for Canada. Determine the subcategory of the current account or financial account that each transaction would be classified in, and state whether it would enter as a credit or debit. a. A migrant worker in Ottawa sends $500 home to his village in Mexico. b. A Canadian charity donates five tons of rice to the Sudan to help with famine relief. c. A Canadian retired couple flies from Vancouver to Tokyo on Japan Airlines.
Chapter29: International Finance
Section: Chapter Questions
Problem 1P
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Look at each of the cases below from the point of view of the balance of payments for Canada. Determine the subcategory of the current account or financial account that each transaction would be classified in, and state whether it would enter as a credit or debit. a. A migrant worker in Ottawa sends $500 home to his village in Mexico. b. A Canadian charity donates five tons of rice to the Sudan to help with famine relief. c. A Canadian retired couple flies from Vancouver to Tokyo on Japan Airlines.
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