Question

Over the course of a year, a nation records that its exports total an equivalent of $61,475,059, and its imports total an equivalent of $69,696,824. What is this nation’s balance of trade?
a.
trade deficit of $131,171,883
b.
trade deficit of $8,221,765
c.
trade surplus of $131,171,883
d.
trade surplus of $8,221,765

Answer 1

Balance of trade = exports − imports = 61,475,059 − 69,696,824 = −8,221,765, so a trade deficit of $8,221,765. Answer: b.