Capital Account Balance The following are the list of transaction amounts: i. Purchase of $35 million in Japanese bonds by Industrial Development Agency Zambia ii. iii. iv. V. A $25 million USA aid to Zambia $45 million sales by Zambia State Insurance in France Purchase of HP components valued at $65 million from Hyundai in Korea by the Zambian government. Payment of $10 million in dividends by Makopolo Tiles Ltd to its investors in

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Chapter1: Making Economics Decisions
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Capital Account Balance
The following are the list of transaction amounts:
i.
Purchase of $35 million in Japanese bonds by Industrial Development Agency
Zambia
ii.
iii.
iv.
V.
vi.
vii.
viii.
ix.
A $25 million USA aid to Zambia
$45 million sales by Zambia State Insurance in France
Purchase of HP components valued at $65 million from Hyundai in Korea by the
Zambian government.
Payment of $10 million in dividends by Makopolo Tiles Ltd to its investors in
Britain
A $120 million stock issue in Frankfurt by Makopolo Tiles Ltd.
Purchase of $50 million French Francs by the Bank of Zambia
Purchase of $60 million in Japanese government Bonds by the Bank of Zambia
Foreign tourists spending $15 million in Tourist Capital Livingston
Sale of Zambian cultural art paintings valued at $55 million, in the USA
X.
b. Explain the effect of the following on the Bop position:
Transcribed Image Text:Capital Account Balance The following are the list of transaction amounts: i. Purchase of $35 million in Japanese bonds by Industrial Development Agency Zambia ii. iii. iv. V. vi. vii. viii. ix. A $25 million USA aid to Zambia $45 million sales by Zambia State Insurance in France Purchase of HP components valued at $65 million from Hyundai in Korea by the Zambian government. Payment of $10 million in dividends by Makopolo Tiles Ltd to its investors in Britain A $120 million stock issue in Frankfurt by Makopolo Tiles Ltd. Purchase of $50 million French Francs by the Bank of Zambia Purchase of $60 million in Japanese government Bonds by the Bank of Zambia Foreign tourists spending $15 million in Tourist Capital Livingston Sale of Zambian cultural art paintings valued at $55 million, in the USA X. b. Explain the effect of the following on the Bop position:
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