How does one calculate the balance of trade in goods and services, capital account balance, current account balance and official settlement balance given a summary of international transactions of the country?
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- Define balance of payments. And explain why it is useful to examine a country’s balance-of-payments data?Why would it be useful to examine a countries balance-of-payment data?2. Consider the following international transactions, which together make up all the transaction of the United States with the rest of the world and compile the Balance of Payments Accounts. For each transaction below, enter its value and sign, and whether it belongs to the current or financial accounts. Compute the Current Account Balance, the Financial Account Balance, and indicate whether there is a Balance of Payment surplus or a Balance of Payments deficit (i.e. compute the Balance of Official Settlements). a. A French wine consultant is hired to advise wineries in Missouri on wine tasting. The Missouri wineries pay the consultant $300, which the (French) consultant keeps in a bank account in St. Louis. b. The United States Treasury pays interest on T-bills held by Black Rock, a British Bank, for $200. The bank holds the US dollars in a London account. c. The European Central Bank purchases $100 from a New York bank, paying with euros that the New York bank holds in a bank in…
- what are implications for analysis of financial statements that result from the accounting for foreign currency translation?When are foreign currency transaction gains or losses required to be recognized in the financial statements, how are they to be disclosed and where in the financial statements?Financial Accounting
- there are two aspects when it comes to translating financial statements from one currency to the other. What are these two aspects? How do you go about translating each account on the financial statements from one currency to the other?What are the acceptable methods of accounting for business operations in a foreign country? Choose a publicly-traded company that operates internationally and identify the impact that the foreign operations have on the financial statements. Explain.F. Accounting
- State how each of the following accounts should be classified on the balance sheet. (a) Treasury Stock (b) Retained Earnings (c) Vacation Pay Payable (d) Foreign Currency Translation Adjustment (e) Allowance for Bad Debts (f) Liability for Pension Payments (g) Investment Securities (Trading) (h) Paid-In Capital in Excess of Stated Value (i) Leasehold Improvements (j) Goodwill (k) Receivables—U.S. Government Contracts (l) Advances to Salespersons (m) Premium on Bonds Payable (n) Inventory (o) Patents (p) Unclaimed Payroll Checks (q) Income Taxes Payable (r) Subscription Revenue Received in Advance (s) Interest Payable (t) Deferred Income Tax Asset (u) Tools (v) Deferred Income Tax LiabilityThis is Accounting MCQ i want answer and explanation why it's correct and another incorrect Thanks waiting for answerExplain the concept of American depositary receipts (ADRs).