ECS2603
SOUTH AFRICAN
ECONOMIC INDICATORS
ONLINE
ASSIGNMENT 05
S1&S2
YEAR 2021
,Part 1 of 17 - 8.0 Points
Question 1 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
What is recorded in the balance of payments is not the level of foreign debt, but the foreign
borrowing that took place during a specified period.
A. True
B. False
Answer Key:True
Question 2 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The balance of payments is a systematic statistical summary or record of economic transactions
(physical goods, services, etc.), excluding financial transactions, between South Africa and the rest of
the world.
A. True
B. False
Answer Key:False
Feedback:It also includes financial transactions.
Question 3 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The data for the balance of payments is only available at constant prices.
A. True
B. False
Answer Key:False
Feedback:The data is only available at current (nominal) prices.
Question 4 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The current account and the financial account are both subaccounts of the balance of payments.
A. True
B. False
Answer Key:True
Part 2 of 17 - Part 2 12.0 Points
Question 5 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
Salaries earned by South Africans from other countries are classified as investment income and
recorded under income receipts.
A. True
B. False
Answer Key:False
Feedback:Salaries earned by South Africans from other countries are classified as compensation of
employee, and not investment income, and are recorded under income receipts.
Question 6 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The decline in foreign tourists during the COVID-19 pandemic will have a negative effect on payments
for services on the balance of payments.
A. True
B. False
Answer Key:False
, Feedback:The spending by foreigners on accommodation, meals, transport, etc. is recorded under
services receipts. As fewer foreigners visit South Africa, we receive less and this negatively influences
our services receipts.
Question 7 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The interest payments on foreign loans by South African firms are recorded under the item income
payments in the current account.
A. True
B. False
Answer Key:True
Question 8 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The decline in foreign tourists during the COVID-19 pandemic will have a negative effect on services
receipts on the balance of payments.
A. True
B. False
Answer Key:True
Feedback:The spending by foreigners on accommodation, meals, transport, etc. is recorded under
services receipts. As fewer foreigners visit South Africa, we receive less and this negatively influences
our services receipts.
Question 9 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The purchase of machinery by a South African manufacturing firm is recorded under the item income
payments in the current account.
A. True
B. False
Answer Key:False
Feedback:The purchase of machinery by a South African manufacturing firm is recorded under the
item merchandise imports in the current account. Income payments consist of income payments from
South African residents to the rest of the world.
Question 10 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
Charitable donations to organisations in South Africa are recorded under the current transfer account.
A. True
B. False
Answer Key:True
Part 3 of 17 - Part 3 8.0 Points
The questions in this part are based on the following information:
Compile a current account for the country and then answer the questions:
Question 11 of 1072.0 Points
Click to see additional instructions
The trade balance is … . R million
Answer Key:65
Question 12 of 1072.0 Points
Click to see additional instructions
SOUTH AFRICAN
ECONOMIC INDICATORS
ONLINE
ASSIGNMENT 05
S1&S2
YEAR 2021
,Part 1 of 17 - 8.0 Points
Question 1 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
What is recorded in the balance of payments is not the level of foreign debt, but the foreign
borrowing that took place during a specified period.
A. True
B. False
Answer Key:True
Question 2 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The balance of payments is a systematic statistical summary or record of economic transactions
(physical goods, services, etc.), excluding financial transactions, between South Africa and the rest of
the world.
A. True
B. False
Answer Key:False
Feedback:It also includes financial transactions.
Question 3 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The data for the balance of payments is only available at constant prices.
A. True
B. False
Answer Key:False
Feedback:The data is only available at current (nominal) prices.
Question 4 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The current account and the financial account are both subaccounts of the balance of payments.
A. True
B. False
Answer Key:True
Part 2 of 17 - Part 2 12.0 Points
Question 5 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
Salaries earned by South Africans from other countries are classified as investment income and
recorded under income receipts.
A. True
B. False
Answer Key:False
Feedback:Salaries earned by South Africans from other countries are classified as compensation of
employee, and not investment income, and are recorded under income receipts.
Question 6 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The decline in foreign tourists during the COVID-19 pandemic will have a negative effect on payments
for services on the balance of payments.
A. True
B. False
Answer Key:False
, Feedback:The spending by foreigners on accommodation, meals, transport, etc. is recorded under
services receipts. As fewer foreigners visit South Africa, we receive less and this negatively influences
our services receipts.
Question 7 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The interest payments on foreign loans by South African firms are recorded under the item income
payments in the current account.
A. True
B. False
Answer Key:True
Question 8 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The decline in foreign tourists during the COVID-19 pandemic will have a negative effect on services
receipts on the balance of payments.
A. True
B. False
Answer Key:True
Feedback:The spending by foreigners on accommodation, meals, transport, etc. is recorded under
services receipts. As fewer foreigners visit South Africa, we receive less and this negatively influences
our services receipts.
Question 9 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
The purchase of machinery by a South African manufacturing firm is recorded under the item income
payments in the current account.
A. True
B. False
Answer Key:False
Feedback:The purchase of machinery by a South African manufacturing firm is recorded under the
item merchandise imports in the current account. Income payments consist of income payments from
South African residents to the rest of the world.
Question 10 of 1072.0 Points. Point(s) deducted for incorrect answer: 1.0
Charitable donations to organisations in South Africa are recorded under the current transfer account.
A. True
B. False
Answer Key:True
Part 3 of 17 - Part 3 8.0 Points
The questions in this part are based on the following information:
Compile a current account for the country and then answer the questions:
Question 11 of 1072.0 Points
Click to see additional instructions
The trade balance is … . R million
Answer Key:65
Question 12 of 1072.0 Points
Click to see additional instructions
