Define Balance of Trade.

1.	Define Balance of Trade.
Answer» Trade account of the balance of payments includes exports and imports of goods in a year. The difference between the value of exports of goods and value of imports of goods is called the balance of trade. For example: if the value of the exports of goods is Rs. 10,000 in a year and the value of imports in the same year is Rs. 6,000, then the balance of trade is (+) Rs 4,000. It is a surplus balance of trade as exports are greater than imports.

Answer»

Trade account of the balance of payments includes exports and imports of goods in a year. The difference between the value of exports of goods and value of imports of goods is called the balance of trade.

For example: if the value of the exports of goods is Rs. 10,000 in a year and the value of imports in the same year is Rs. 6,000, then the balance of trade is (+) Rs 4,000. It is a surplus balance of trade as exports are greater than imports.

Discussion

No Comment Found

Related InterviewSolutions

A plant is kept in a dark cupboard for about 48 hours before conducting any experiment on photosynthesis to :(A) Remove starch from the plant. (B) Ensure that starch is not translocated from the leaves. (C) Remove chlorophyll from the leaf of the plant. (D) Remove starch from the experimental leaf.
The producer of Lime Fresh’ tea introduces ‘Buy one Get one’ scheme on all the products of ‘Lime Fresh’. Identify the promotional strategy’ used by the producer. State any one objective that could be met by this strategy.
A stringed musical instrument, such as the sitar,is provided with a number of wires of different thicknesses. explain the reason for this.
Mention whether the following would result in inflow, outflow or no flow of cash :(i) Issue of fully paid Bonus Shares (ii) Cash withdrawn from Bank
State with reason whether the following would result in inflow, outflow or no flow of cash :(i) Charging depreciation on furniture. (ii) Cash withdrawn for bank for office use.
Give four points of anatomical differences between a monocot stem and a dicot stem.
State the conditions required for total internal reflection of light to take place.
State the conditions required for total internal reflection of light to take place.
(i) When does a ray of light falling on a lens pass through it undeviated ? (ii) Which lens can produce a real and inverted image of an object ?
When acoustic resonance takes place a loud sound is heard. Why does this happen ? Explain.

Define Balance of Trade.

Discussion

No Comment Found

Related InterviewSolutions

Reply to Comment