Multiple Choice
A Peruvian firm purchases construction equipment made in the U.S. and pays for it with Peruvian currency. This transaction
A) increases U.S. net exports, and increases Peruvian net capital outflow.
B) increases U.S. net exports, and decreases Peruvian net capital outflow.
C) decreases U.S. net exports, and increases Peruvian net capital outflow.
D) decreases U.S. net exports, and decreases Peruvian net capital outflow.
Correct Answer:

Verified
Correct Answer:
Verified
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