Suppose that a country imports $90 million worth of goods and services and exports $80 million worth of goods and services.What is the value of net exports?
A)$170 million
B)$80 million
C)$10 million
D)-$10 million

Question

Quizplus · Accepted Answer

Net exports are calculated by subtracting the value of exports from the value of imports, therefore:
Net exports = exports - imports
Net exports = $80 million - $90 million
Net exports = -$10 million
The negative sign indicates that the country has a trade deficit, meaning that it imports more than it exports. Therefore, the correct answer is (D) -$10 million.

Suppose That a Country Imports $90 Million Worth of Goods