A Chinese Company Exchanges Yuan (Chinese Currency) for Dollars

Multiple Choice

A Chinese company exchanges yuan (Chinese currency) for dollars. It uses these dollars to purchase scrap metal from a U.S. company. As a result of these transactions, Chinese net exports

A) increase, and U.S.net capital outflow increases.
B) increase, and U.S.net capital outflow decreases.
C) decrease, and U.S.net capital outflow increases.
D) decrease, and U.S.net capital outflow decreases.