(Answered) Consider each of the hypothetical us balance of payments

Management Studies

Consider each of the hypothetical U.S. Balance of Payments (primary) transactions below. For each one, identify whether it is a current or financial account transaction or not. And whether it represents a payment inflow or outflow.

A U.S. importer buys a case of Spanish wine for $1000.

A U.S. citizen working for a firm in Germany deposits her $2000 paycheck, drawn on a Frankfurt bank, into her U.S. checking account.

A German citizen purchases $100,000 worth of Google shares of stock.

A Salvadoran immigrant in Los Angeles sends a $5000 check back to his family in San Salvador.

So what is the current account balance?

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