1. Suppose that a Canadian buys a car from Germany with cash. For Canada, this is reported in the balance-of-payments accounts as a:

A. Current account credit and financial accounts debit.

B. Current account debit and financial accounts credit.

C. Current account debit and capital accounts credit.

D. Current account credit and financial accounts credit.

2. What is an Equity Carve-out?

A. Two or more companies merge. (Only one of the original legal entities remains. All others are destroyed.)

B. Creating a new company from a sub-unit, giving the stock in the new company to existing shareholders (old company is destroyed.)

C. Creating a new company from an IPO sale of a sub-unit

D. Answer is not possible or not listed

E. Creating a new company from a sub-unit, giving the stock in the new company to existing shareholders (old company is maintained.)