This quiz works best with JavaScript enabled. Home > Economics > International > Trade > Balance Of Trade – Quiz 1 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Balance Of Trade Quiz 1 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Tires made in japan's factories are used on cars in India, for India It will be A) Import. B) Export. C) Balance of payment. D) None of above. Show Answer Correct Answer: A) Import. 2. Balance of Trade shows a Surplus of Rs. 1200 crores, and the Imports is Rs. 500 crores. What will be the value of Exports? A) Rs. 700 crores. B) Rs. 1700 crores. C) Rs. (-) 700 crores. D) None of the above. Show Answer Correct Answer: B) Rs. 1700 crores. 3. The difference in the value of imports and exports A) Balance of Trade. B) Balance of Payments. C) Imbalance of Trade. D) None of above. Show Answer Correct Answer: B) Balance of Payments. 4. Calculating the current account allows you to identify A) If they have a trade deficit. B) If they have a trade surplus. C) The balance of trade. D) All of the above. Show Answer Correct Answer: D) All of the above. 5. CALCULATE EXPORT FROM BELOW INFORMATION-A)BOT=-700 AND IMPORT=1025B)BOT=-2500 AND IMPORT=7200 A) 300 AND 4700. B) 250 AND 500. C) 300 AND 620. D) 150 AND 230. Show Answer Correct Answer: A) 300 AND 4700. 6. WHICH ARE THE ACRONYMS OF THE BALANCE OF TRADE? A) CVC. B) BT. C) BOT. D) BOP. Show Answer Correct Answer: C) BOT. 7. America imported $ 10 billion in goods and exported $ 9 billion in goods. Which of the following does America have? A) A trade deficit. B) A balanced budget. C) A trade balance. D) A trade surplus. Show Answer Correct Answer: A) A trade deficit. 8. WHICH COUNTRY WAS THE FIRST ONE WITH TRADE DEFICIT IN 2019? A) Brazil. B) United States. C) United Kingdom. D) China. Show Answer Correct Answer: B) United States. 9. Which is invisible items from the following- A) Car. B) Communication, banking and teaching. C) Tv and computer. D) None of above. Show Answer Correct Answer: B) Communication, banking and teaching. 10. Which do you want more of? A) Imports. B) Exports. C) None. D) None of above. Show Answer Correct Answer: B) Exports. 11. The situation that exists when imports exceed exports. A) Trade Deficit. B) Trade Surplus. C) Imbalance of Trade. D) None of above. Show Answer Correct Answer: A) Trade Deficit. 12. When the value of imports is greater than the value of exports, then it is known as ..... A) Trade Deficit. B) BOP Deficit. C) Trade Surplus. D) Trade Equilibrium. Show Answer Correct Answer: A) Trade Deficit. 13. Carterville imported $ 10 billion in goods and services and exported $ 9 billion in goods and services. Which of the following does Carterville have? A) A trade balance. B) A trade surplus. C) A trade deficit. D) A balanced budget. Show Answer Correct Answer: C) A trade deficit. 14. Jorge Martinez from Spain buys a shopping center in Florida. How will this affect the U.S. balance of payments? A) Debit capital account. B) Debit Current account. C) Credit capital account. D) Credit Capital/Financial account. Show Answer Correct Answer: D) Credit Capital/Financial account. 15. Which of the following is not found in the foreign exchange market? A) International demand for a nation's currency. B) International supply of a nation's currency. C) The total supply of a nation's currency. D) The value of one currency compared to another. Show Answer Correct Answer: C) The total supply of a nation's currency. 16. Which of the following does not affect the demand for a nation's currency? A) Total number of retail stores. B) Taste and preferences. C) Interest rates. D) Income. Show Answer Correct Answer: A) Total number of retail stores. 17. The country of Algonia produced and then shipped out $ 5 billion in goods to other nations. It brought in $ 4 billion in goods? What does this country have? A) A balanced budget. B) A trade deficit. C) A trade balance. D) A trade surplus. Show Answer Correct Answer: D) A trade surplus. 18. The difference between imports and exports for a country is called the: A) Trade surplus. B) Payment surplus. C) The balance of payments. D) The balance of trade. Show Answer Correct Answer: D) The balance of trade. 19. What will happen in the market for loanable funds if there is government deficit? A) The demand for loanable funds will increase. B) The demand for loanable funds will decrease. C) The supply of loanable funds will decrease. D) The supply of loanable funds will increase. Show Answer Correct Answer: C) The supply of loanable funds will decrease. 20. If a country has a negative balance of trade, that means ..... A) More money is going out of the country. B) More money is coming into the country. C) The amount of money going out of the country and coming into the country is equal. D) None of above. Show Answer Correct Answer: A) More money is going out of the country. 21. Germany imports $ 20 million in jeans from the U.S. How does this affect the German balance of payments? A) Debit current. B) Credit current. C) Debit capital. D) Credit capital. Show Answer Correct Answer: B) Credit current. 22. The United States sends $ 50 million in foreign aid to Haiti. A) Credit capital account. B) Debit capital account. C) Debit current account. D) Credit current account. Show Answer Correct Answer: C) Debit current account. 23. WHAT HAPPENED WITH THE COUNTRIES AFTER THE INTERNATIONAL TRADE? A) They walked away. B) They fought. C) They approached. D) None of above. Show Answer Correct Answer: C) They approached. 24. The Balance of Trade shows a deficit of Rs. 5000 crores and the value of imports are Rs. 9000 crores, what is the value of exports? A) Rs. 7000 crores. B) Rs. 14000 crores. C) Rs. (-) 4000 crores. D) Rs. 4000 crores. Show Answer Correct Answer: D) Rs. 4000 crores. 25. The difference between imports and exports A) Balance of Payments. B) Balance of Trade. C) Imbalance of Trade. D) None of above. Show Answer Correct Answer: B) Balance of Trade. 26. The country of Algonia produced and then shipped out $ 5 billion in goods and services to other nations. It brought in $ 4 billion in goods and services? What does this country have? A) A trade deficit. B) A trade balance. C) A trade surplus. D) A balanced budget. Show Answer Correct Answer: C) A trade surplus. 27. When the value of exports is greater than the value of imports, then it is known as ..... A) Trade Equilibrium. B) Trade Deficit. C) BOP Deficit. D) Trade Surplus. Show Answer Correct Answer: D) Trade Surplus. 28. Why does The Bahamas need to import products? A) The Bahamas does not import products. B) Some are easier and cheaper to make in other countries. C) The Bahamas makes all of its own products. D) None of the above. Show Answer Correct Answer: B) Some are easier and cheaper to make in other countries. 29. The situation that exists when exports exceed imports. A) Trade Deficit. B) Trade Surplus. C) Imbalance of Trade. D) None of above. Show Answer Correct Answer: B) Trade Surplus. 30. Why does the United States need to import products? A) The US does not import products. B) Some are easier and cheaper to make in other countries. C) The US makes all of its own products. D) None of above. Show Answer Correct Answer: B) Some are easier and cheaper to make in other countries. Next →Related QuizzesInternational QuizzesEconomics QuizzesBalance Of Trade Quiz 2Barriers To Trade QuizTrade Exchange And Interdependence Quiz 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books