| No. | Item | Million USD |
|
1 |
Exports (of Goods only) |
180 |
|
2 |
Imports (of Goods only) |
260 |
| 3 |
Net Invisibles a. Non-factor services b. Income C. Transfers |
40 -20 34 |
On the basis of the above table, the Current Account Balance will be _____________.
Answer & explanation
Correct answer: option 2
The correct answer is option (2) : -26 million USD
To calculate the Current Account Balance, we sum of the values of exports and invisibles (non-factor services, income, and transfers) and then subtract imports.
Current Account Balance = (Exports + Invisibles ) - Imports
Current Account Balance = (180 + (40 - 20 + 34)) - 260
Current Account Balance = 234 - 260
Current Account Balance = - 26
Therefore, the correct answer is : - 26 million USD