Question

Exports for year 201x = $2.18 trillion. Net acquisitions of financial assets for year 201x =...

Exports for year 201x = $2.18 trillion. Net acquisitions of financial assets for year 201x = $0.22 trillion. Imports for year 201x = $1.97 trillion. Calculate the current account balance for year 201x.

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Answer #1

current account balance = -$0.01 trillion

CALCULATIONS:-

information given:

Exports for year 201x = $2.18 trillion

Imports for year 201x = $1.97 trillion

Net acquisitions of financial assets for year 201x = $0.22 trillion

current account balance for year 201x = ?

The formula for calculating current account balance = Exports - (Imports + Net acquisitions of financial assets)

By substituting the values, we get

current account balance = $2.18 trillion - ($1.97 trillion + $0.22 trillion)

current account balance = $2.18 trillion - $2.19 trillion

current account balance = -$0.01 trillion

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