If there are no factor payments from abroad and no unilateral transfers,net exports of $10 billion is the same as
A)a current account deficit of $10 billion.
B)a capital account surplus of $10 billion.
C)net acquisition of foreign assets of $10 billion.
D)net foreign borrowing of $10 billion.

Question

Quizplus · Accepted Answer

Net exports of $10 billion indicate that the country is exporting more than it is importing, leading to a net acquisition of foreign assets of $10 billion, as the surplus from exports is used to acquire foreign assets.

If There Are No Factor Payments from Abroad and No