Question

Foreign investment in the United States and U.S. investment abroad are recorded in​ _____.

A. the financial account

B. the capital account

C. the current account

D. the statistical discrepancy

E. they are not recorded in a balance of payment account

**TWO PARTS TOTAL**When the exchange rate rises, the demand curve for foreign exchange shifts and the supply curve of foreign exchange shifts A.

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Answer #1

the capital account..

(Capital account makes the record of foreign investment in the United States and U.S. investment abroad)..

rightward; leftward..

(higher exchange rates make dollars more attractive. Thus, the demand for dollars in the foreign exchange market shifts rightward while on the other hand supply of dollars shifts leftward)...

(Please give an up vote if you find it helpful)...

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